PFIX / A Rate-Hedging ETF Strategy Climbs on an Aggressive Fed Policy Outlook

For investors seeking momentum, Simplify Interest Rate Hedge ETF PFIX is probably on the radar. The fund just hit a 52-week high and is up 91.96% from more_horizontal

Simplify Interest Rate Hedge ETF is an interest rate hedging instrument that invests in US Treasury bonds and uses swaptions to benefit from rising in more_horizontal

For investors seeking momentum, Simplify Interest Rate Hedge ETF PFIX is probably on the radar. The fund just hit a 52-week high and is up 59.42% from more_horizontal

Still, higher core inflation rates points to a longer-than-expected period of elevated interest rates. more_horizontal

The Fed's 11th rate hike has compelled investors to flock to the interest rate hedge ETFs to protect themselves from the rising rate environment. more_horizontal

The PFIX ETF provides a hedge against rising long-term interest rates through a portfolio of OTC interest rate derivatives. Assets in the PFIX ETF hav more_horizontal

Rate risks have turned and are now skewed to the downside amid softening economic data following the yield rise since the start of Q2. PFIX's performa more_horizontal

PFIX was a top-performing bond ETF in 2022 as interest rates increased. With the latest drop in rates, investors have a chance to re-enter PFIX at fav more_horizontal