Additionally, Sonal Desai, chief investment officer at Franklin Templeton, preferred certain energy-based commodities or currencies as indirect hedges to inflation, since Federal Reserve actions could negatively affect the fixed income and TIPS market. For example, investors have funneled a record $66.8 billion into ETFs tracking TIPS, or U.S. government bonds that are indexed to inflation, according to EPFR data. For instance, the iShares TIPS Bond ETF (NYSEArca: TIP) brought in $11.4 billion, the Vanguard Short-Term Inflation-Protected Securities ETF (NYSEArca: VTIP) saw $9.0 billion in inflows, and the Schwab U.S.