STPZ ETF: What Is It? — Returns, Expense Ratio, Holdings, and Alternative ETFs at a Glance
The PIMCO 1-5 Year U.S. TIPS ETF (STPZ) is a passive fund that invests in short-dated U.S. Treasury Inflation-Protected Securities (TIPS). Its core selection criteria versus peers such as VTIP, TIP, and SCHP are inflation hedging, low interest-rate sensitivity, and differences in maturity exposure.
SubscribeWhat Is the PIMCO 1-5 Year U.S. TIPS ETF?
It is a passive bond ETF that tracks an index composed of U.S. Treasury Inflation-Protected Securities (TIPS) with relatively short maturities. Principal and interest are indexed to the U.S. Consumer Price Index (CPI), preserving real value when inflation rises, and its short maturity results in lower interest-rate sensitivity.
It is well suited for conservative investors who want to hedge against inflation risk while keeping interest-rate risk low through a short maturity profile.
It is an ETF operated by PIMCO using a passive (index-tracking) management approach.
How Does the PIMCO 1-5 Year U.S. TIPS ETF Work?
| Item | Detail |
|---|---|
| Index Tracked | U.S. 1–5 Year TIPS |
| Management Style | Passive (Index Tracking) |
| Maturity Range | Short-Term (Low Interest-Rate Sensitivity) |
| Dividend Frequency | Monthly |
| Total Expense Ratio | 0.20% |
It tracks an index composed of U.S. TIPS with relatively short maturities. Because principal and interest are indexed to the U.S. CPI, the fund preserves real purchasing power when inflation rises, and its short maturity keeps price swings from interest-rate moves smaller than those of broader TIPS funds.
- Short-dated TIPS exposure
- Inflation hedge with low interest-rate sensitivity
PIMCO 1-5 Year U.S. TIPS ETF Size and Costs (AUM · Expense Ratio)
Assets under management (AUM) stand at $576.8M, and the total expense ratio is 0.20% per year.
Compared with other short- and intermediate-term TIPS ETFs such as VTIP and TIP, the main comparison points are maturity range and interest-rate sensitivity.
PIMCO 1-5 Year U.S. TIPS ETF Performance and Fund Flows
1-Year Price Performance
Dividend & Yield
52-Week Price RangeTIPS returns are driven by inflation expectations and real yields, and the asset class has historically shown more resilience than nominal Treasuries when inflation picks up. Short-dated TIPS tend to exhibit smaller price swings from interest-rate moves than their longer-maturity counterparts.
Short-dated TIPS see inflows and outflows shift with the inflation outlook and the real-rate environment; during episodes of rising inflation concerns, demand for inflation hedging can draw fresh capital into the fund. Performance can also vary with short-rate trends and the path of inflation, both of which are worth tracking.
PIMCO 1-5 Year U.S. TIPS ETF: Strengths and Weaknesses
Inflation protection and low interest-rate sensitivity are the key strengths, while limited return potential and real-rate risk are the main considerations.
💪 Key Strengths
⚠️ Watch-Outs
PIMCO 1-5 Year U.S. TIPS ETF: Alternative ETFs and Related Products
For broader TIPS exposure across the full maturity spectrum, direct alternatives include the all-maturity TIP and SCHP, while STIP is another comparable option for those seeking short-dated TIPS exposure. The VTIP and LDRI funds shown in the table differ in construction, comprising short-dated TIPS and laddered TIPS, respectively. This ETF's distinguishing feature is its narrow focus on short-dated U.S. TIPS.
Peer Comparison ETFs| Ticker | Name | Price | Change | AUM | Total Expense Ratio | Dividend Yield | 1Y |
|---|---|---|---|---|---|---|---|
 VTIP | Vanguard Short-Term Inflation-Protected Securities Index Fund | $48.99 | +0.2% | $21.1B | 0.03% | 4.79% | -2.0% |
 LDRI | iShares iBonds 1-5 Year TIPS Ladder ETF | $24.96 | +0.1% | $36.9M | 0.10% | 4.41% | -1.8% |
Top Holdings| Ticker | Name | Weight | Price | Change | Market Cap | P/E | Dividend Yield |
|---|---|---|---|---|---|---|---|
 BNO | United States Brent Oil Fund LP | 0.39% | $71.39 | +0.9% | $0.0M | - | - |
 USLM | United States Lime & Minerals Inc | 0.39% | $111.61 | -2.0% | $3.2B | 23.9 | 0.22% |
PIMCO 1-5 Year U.S. TIPS ETF Investor Checklist
Points to review before investing in STPZ: while the inflation hedge is appealing, investors should assess limited return potential, real-rate risk, and deflation scenarios in advance. Comparing this fund with full-maturity and short-dated TIPS products is also advisable.
| Checkpoint | What to Verify | Current Status |
|---|---|---|
| 📈 Inflation | Inflation-indexing effect | Inflation-Indexed |
| 📉 Interest-Rate Sensitivity | Short maturity and real yields | Low |
| 🛡️ Safety | Credit risk from Treasury backing | Treasury-Based |
| 💵 Return Level | Return expectations for short-dated Treasuries | Limited |
Rising real yields and deflationary conditions are the main variables affecting short-term performance; even an inflation-protection asset can see price declines depending on the real-rate environment. With a short-dated, Treasury-focused mandate, return expectations are inherently limited.
The fund is a fitting candidate for conservative investors seeking inflation protection while minimizing interest-rate risk. Those who want broader TIPS exposure should compare this fund with TIP and SCHP, while those targeting short-dated TIPS exposure should weigh it alongside these peers before investing.
SubscribeDisclaimer: This content is for informational purposes only and does not constitute investment advice. All investment responsibility lies with the investor.
This article reflects information as of June 10, 2026.
Today's 5 AI picks, all free