IBIK vs STIP

IBIKBiShares iBonds Oct 2034 Term TIPS ETF

STIPAiShares 0-5 Year TIPS Bond ETF

In short

IBIK A ladder rung built from inflation-linked Treasuries. IBIK tracks TIPS maturing in 2034 and winds down at term, bringing the defined-maturity treatment to the inflation-protected corner of the Treasury market.

STIP The short-fuse inflation hedge. STIP holds only inflation-linked Treasuries maturing inside five years, keeping the inflation link while sidestepping most of the long-bond rate swings. Three basis points a year.

Stated mandate

IBIK The fund seeks to track an index of U.S. Treasury Inflation-Protected Securities maturing in 2034. It is designed to provide inflation protection, support bond-ladder construction, and manage interest-rate risk through a defined maturity.

STIP The fund seeks to track an index of U.S. Treasury inflation-protected securities with maturities under five years, offering inflation hedging while managing duration risk.

Why people hold it

• IBIK Defined maturity, not open-ended: it tracks the ICE 2034 Maturity US Inflation-Linked Treasury Index, so it behaves like a dated rung you can slot into a ladder.
• 0.10% a year, matching the median fee across target-maturity bond funds and the same sticker as top-ranked corporate rungs like IBDU and BSCT.
• Most rungs in this group hold corporates or nominal Treasuries. This one is inflation-linked, so the ladder step is designed to move with inflation rather than a fixed coupon.

• STIP Three basis points a year, roughly a quarter of the typical fee in its Treasury ETF group. On cost, this is near the floor for bond funds.
• Maturities capped under five years by design, so the inflation adjustment stays and the long-duration price swings largely do not.
• Running since 2010, a multi-billion-dollar fund that trades actively. Plain index construction, US Treasuries only.
• Sits in the upper half of the Treasury bond ETFs we cover, one of the stronger short-maturity builds in that group.

Worth knowing

• IBIK Launched in 2024. The iBonds ladder machinery is well worn at iShares, but this particular rung has a short live record of its own.
• A smaller, lightly traded fund. Spreads can run wider than the household-name rungs, which makes order type worth attention.
• Payouts come quarterly, and because the holdings are inflation-linked, the amount varies with inflation instead of sitting at a fixed level.

• STIP Short bonds accrue less inflation compensation than long-dated TIPS, and prices still move with real yields. This is a dampened hedge, not a pure one.
• Distributions are irregular. Payouts ride the inflation adjustment, so income arrives lumpy rather than as a steady check.
• Around 25 bonds, all at the front of the curve. SCHP spans the full TIPS maturity range for the same 0.03%.

Full IBIK profile⁠

Full STIP profile⁠