Let’s be real for a second.
That grocery bill that used to be $80 is now $95.
Your gas tank hurts every week.
And cash in your bank account? Quietly losing value day by day.
Welcome to 2025 inflation reality.
But here’s the secret Wall Street doesn’t shout loud enough 👇
Inflation destroys money for most people — but it makes smart investors richer.
Today, I’m breaking down 5 powerful ETFs that don’t just survive high inflation… they THRIVE in it.
One of them returned over 40% in a single year.
Another manages $137 BILLION in assets.
And yes — one of them pays over 5% dividends while prices keep rising.
If inflation is stealing from you, this might be your comeback plan.
Why Inflation ETFs Matter More Than Ever in 2025
As we move deeper into 2025, inflation is still the elephant in the room.
• Interest rates keep swinging
• Geopolitical tensions push up commodity prices
• Construction costs are exploding (steel up 125% since 2020!)
• Traditional 60/40 stock-bond portfolios are struggling
This is exactly why inflation-hedging ETFs are becoming a financial lifeboat.
There are three proven inflation defenses:
Inflation-protected bonds (TIPS)
Physical gold
Broad commodities (energy, metals, agriculture)
Let’s break down the 5 ETFs investors are using right now.
1️⃣ SCHP – The Monthly Income Inflation Shield 💰
Schwab U.S. TIPS ETF (SCHP) is the definition of boring… in the best way.
✔ Automatically adjusts with inflation
✔ Backed by the U.S. government
✔ Ultra-low expense ratio: 0.03%
✔ Assets under management: $14.56B
But here’s the juicy part 👇
Dividend yield: ~4.8% (paid monthly)
That means:
👉 $50,000 invested ≈ $2,400+ per year
👉 Monthly cash flow while inflation rises
Plus, SCHP is up ~7% YTD, so you’re getting income and growth.
For investors who want stability + inflation protection + income, SCHP is a beast.
2️⃣ VTIP – Low Risk, Pure Inflation Protection 🛡️
If SCHP is the workhorse, VTIP is the armored tank.
Vanguard Short-Term TIPS ETF (VTIP) focuses only on short-term inflation-protected bonds.
✔ Massive fund: $62B+ AUM
✔ Expense ratio: 0.03%
✔ Very low volatility
✔ Duration just 2.4 years
The trade-off?
👉 Lower yield (~1%)
👉 Much smoother ride when interest rates jump
If you hate bond volatility but still want inflation defense, VTIP is your sleep-at-night ETF.
3️⃣ GLD – The Inflation Superstar ⭐
This is where things get exciting.
SPDR Gold Shares ETF (GLD) is the king of gold ETFs.
✔ Assets under management: $137 BILLION
✔ Physical gold stored in vaults
✔ 20-year track record
✔ Extremely liquid
Now the insane part…
🔥 40% return in the past 12 months
🔥 ~27% YTD performance in 2025
When inflation fears, currency risk, or global tension rise — money runs to gold. And GLD is where it lands.
⚠️ No dividends
⚠️ Higher tax rate in taxable accounts
But if you want pure inflation + crisis protection, GLD delivers.
4️⃣ PDBC – Broad Commodities Without Tax Headaches 🌾⚡
Invesco PDBC gives you exposure to:
• Oil & natural gas
• Gold & silver
• Copper & aluminum
• Corn, wheat, coffee, sugar, livestock
✔ Active management
✔ Dividend yield: ~4.3%
✔ No K-1 tax form (huge win for taxable accounts)
Performance in 2025 has been modest — but over 5 years, returns exceed 13% annually.
PDBC is built for investors who want real-world inflation exposure without tax drama.
5️⃣ DBC – The Highest Yield Commodity ETF 📈
If income is your priority, meet Invesco DBC.
✔ Dividend yield: ~5% (highest on this list)
✔ Broad commodity exposure
✔ Passive strategy
The catch?
👉 Issues K-1 tax forms
For retirement accounts (IRA / 401k), that’s usually not a problem — and the yield is attractive.
So… Which Inflation ETF Is Best?
Here’s the quick breakdown 👇
• Best income + stability: SCHP
• Lowest risk inflation hedge: VTIP
• Best inflation growth play: GLD
• Commodities without tax hassle: PDBC
• Highest dividend yield: DBC
Many smart investors combine them for balance:
Income + protection + growth + diversification
Inflation doesn’t have to destroy your portfolio.
If you position correctly — it can actually work FOR you.
Ready to Invest in These ETFs? 📲
If you want an easy way to buy these ETFs, track markets, and manage your portfolio like a pro, check out moomoo 👇
👉 Open an account & start investing here:
🔗 https://j.moomoo.com/0xFRE4
Moomoo offers:
✔ Powerful charts & real-time data
✔ Access to U.S. ETFs like SCHP, VTIP, GLD, PDBC & DBC
✔ User-friendly platform for beginners & pros
Inflation is already impacting your money.
The real question is — are you doing something about it?
💬 Drop a comment: Which ETF would YOU choose first?
#InflationHedge #ETFInvesting #PassiveIncome #GoldETF #DividendETF #WealthBuilding #InvestSmart #2025Investing #Moomoo
