IBIL vs SCHP

IBILCiShares iBonds Oct 2035 Term TIPS ETF

SCHPASchwab US TIPS ETF

In short

IBIL Inflation-linked Treasuries with an end date. IBIL holds TIPS maturing in 2035 and tracks an ICE index, so it acts like one rung of a bond ladder instead of a fund that rolls on forever. Fee: 0.10%.

SCHP Inflation insurance in the plainest wrapper available: SCHP owns the full maturity range of Treasury inflation-protected bonds and tracks its Bloomberg index for three basis points a year.

Stated mandate

IBIL The fund seeks to track an index of U.S. Treasury Inflation-Protected Securities maturing in 2035.

SCHP The fund seeks to track, before fees and expenses, the total return of an index composed of inflation-protected U.S. Treasury securities.

Why people hold it

• IBIL Every bond in it is a 2035-maturity TIPS, so inflation-linked Treasury exposure arrives with a target date attached rather than as a perpetual, always-rolling portfolio.
• 0.10% expense ratio, level with the typical fee across maturity-dated bond ETFs.
• Rules-based and plain: it tracks the ICE 2035 Maturity US Inflation-Linked Treasury Index, and the paper inside is US Treasury debt.ishares.com
• Distributions land quarterly, and TIPS coupons are paid on principal that adjusts with inflation.

• SCHP 0.03% a year, a quarter of the typical Treasury-fund fee and level with the cheapest names in the group (VGIT, VCSH).
• One job, done literally: only inflation-linked US Treasuries, whose principal adjusts with the official consumer price index.
• Running since 2010, now a multi-billion-dollar fund that trades actively and hugs the Bloomberg Series-L index closely.
• Passive, no maturity tilt, no manager view: one of the cleaner builds among Treasury ETFs.

Worth knowing

• IBIL A small, lightly traded fund, so spreads can run wider than on the crowded rungs of the ladder.
• Launched in 2025, giving it a short record next to long-running maturity-dated lineups. On our peer measures it sits in the lower half of the group.
• Because payouts track inflation readings, income moves around instead of sitting fixed, and real-yield swings still move the price before 2035.

• SCHP Inflation-linked is not rate-proof. This spans the whole maturity spectrum, so prices move with real yields.
• Distributions are irregular. Coupons sit on an inflation-adjusted principal, so the cash arrives lumpy, not as a steady check.
• About 50 bonds, all Uncle Sam. No credit spread, no corporate yield pickup; inflation and duration are the whole story.

Full IBIL profile⁠

Full SCHP profile⁠