Northern Trust TIPS Index Fund

The Northern Trust TIPS Index Fund is a fixed income collective investment vehicle designed to closely track the performance of the U.S. Treasury Inflation-Protected Securities (TIPS) market, as measured by the Bloomberg US TIPS Index. Its primary focus is on investing in Treasury Inflation-Protected Securities, which are government-issued bonds that adjust their principal and interest payments in line with U.S. inflation rates, providing a layer of protection against inflation. The fund may also allocate limited exposure to nominal U.S. Treasury securities and derivative instruments such as interest rate futures or options, solely for the purpose of maintaining market exposure. The portfolio is diversified across various maturities within the TIPS sector, balancing shorter and longer-term inflation-linked instruments. By passively replicating its benchmark, the fund aims to represent the inflation-hedging segment within the broader fixed income market, making it a core option for institutional investors and retirement plans seeking to preserve purchasing power and manage inflation risk within their fixed income allocations. The fund does not engage in securities lending and is managed by Northern Trust Investments, Inc., with a focus on transparency and disciplined index tracking.