S&P Indices expands fixed-income indexes with S&P/BGCantor TIPS index

By Toni Weeks

San Diego, May 10 - S&P Indices has launched the S&P/BGCantor U.S. Treasury Inflation-Protected Security Index, according to a press release.

The index, which is the only U.S. Treasury Bond index to use pricing from BGC Market Data LP, is a comprehensive, market value-weighted index that seeks to measure the performance of the U.S. Treasury inflation-protected securities market. TIPS are designed to provide protection against inflation, with the principal of the security increasing with inflation and decreasing with deflation, as measured by the Consumer Price Index.

TIPS index weights are based in part on outstanding par amounts for securities. BGC Market Data LP provides the inflation-adjusted price of each bond in the index. The prices used in the index calculation add the accrued interest to the daily market price of each security.

"As the ever-present risk of inflation continues to weigh on the minds of investors, we are pleased to align with BGC Market Data LP to provide additional insights into the TIPS market," J.R. Rieger, vice president of fixed-income indexes at S&PIndices, said in the release.

The S&P/BGCantor U.S. Treasury Bond and Treasury Bill indexes are now being published on an intraday basis, the release said.

New York-based S&P Indices provides a wide variety of investable and benchmark indexes.

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