At a glance
Over the past year it returned −2.3% with distributions reinvested (S&P 500: +11.5%); over three years it returned +18.3% a year. At its worst it fell 22.2% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 14 months after the low.
The short version
ETRACS IFED Invest with the Fed TR Index ETN (IFED) is a UBS exchange-traded note that pays the return of the IFED Invest with the Fed TR Index, a stock index, minus fees. Unlike an ETF, it owns no assets for investors. It is unsecured UBS debt, so payment depends on UBS's credit, and UBS can redeem the notes early. It has recorded no distributions, so returns come only through its price.
Price history
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IFED -2.3% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| IFED price data to Oct 27, 2026 | -0.2% | -2.3% | +18.3% | +11.9% | — | +12.6% |
- Over the year to Oct 27, 2026, IFED returned -2.3%.
- Its 5-year annualized return was +11.9%.
- Its worst full calendar year was 2022 (-1.5%); its best was 2024 (+23.0%).
- The deepest fall in its price history was 22.4% (Feb 19, 2025 to Apr 8, 2025), recovered by Jun 27, 2025.
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | -0.2% |
| 2025 | +15.0% |
| 2024 | +23.0% |
| 2023 | +20.8% |
| 2022 | -1.5% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Before this security existed |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 13.1% over that stretch · deepest drop along the way 22.2%, back to its old high 13.6 months after the low |
How it works
IFED is not a fund. It is an exchange-traded note (ETN): unsecured debt that UBS issues under its ETRACS brand, with no specific assets pledged to back it. The note is designed to pay the return of the IFED Invest with the Fed TR Index, minus fees, and it matures on September 15, 2061. It trades on an exchange like a share. But it owns no assets on investors' behalf, and there is no fund prospectus or holdings report showing what the index contains.
It is a stock index, and the 'Fed' in its name refers to the US Federal Reserve. The index rules set how it picks and weights stocks and how often it rebalances. UBS's offering documents for the notes describe those rules, and they are worth reading before investing. 'TR' in an index name usually means total return: dividends from the stocks count as reinvested rather than paid out. In line with that, IFED has recorded no distributions.
Two mechanics matter most. First, credit: IFED pays the index return only as long as UBS can pay, so trouble at UBS could mean losses even if the index rose. Second, UBS can redeem the notes early, which could end a holding on UBS's timetable rather than the investor's.
What it really costs
Structure and tax notes
- An exchange-traded note: unsecured debt of the issuing bank, not a fund. It owns no assets on investors’ behalf; it pays the index return minus fees only as long as the issuer can pay, so the bank’s credit matters, and the issuer can redeem the notes early.
In a retirement portfolio
IFED offers a single stock-index strategy through unsecured UBS debt, with no income and price swings (volatility) of 36.3% over the year to October 27, 2026, so it fits a small side role rather than a core one.
IFED launched in September 2021, so it has no record from the 2008 crisis or the 2020 COVID crash. In the 2022 bear market it fell 22.2% between March 29 and October 12, 2022, and took 13.6 months to recover. Even so, it finished 2022, its worst calendar year, down just 1.5%. Its deepest drop, 22.4%, ran from February 19 to April 8, 2025, and it recovered in 2.6 months. Anyone forced to cash out near those lows would have locked in losses. With no distributions recorded, any spending money would have to come from cashing in notes.
Holders also carry UBS credit risk and the chance of early redemption. UBS deducts fees from the index return, and the rate is worth checking in UBS's documents. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Investors who want the IFED Invest with the Fed TR Index's return through one exchange-traded note and accept that it is UBS debt.
- Growth-minded holders comfortable with big swings: one-year volatility was 36.3% and the deepest drop 22.4%, as of October 27, 2026.
- Investors who need no income from this holding (no distributions recorded) and can wait out slumps; the 2022 drop took 13.6 months to recover.
Look elsewhere if
- Retirees who need regular income: IFED has recorded no distributions, so cash would have to come from parting with notes.
- Anyone unwilling to take UBS credit risk or early-redemption risk: if UBS can't pay, holders can lose money even when the index rises.
- Investors who want a fund with published holdings and a long track record; IFED reports no holdings and has about five years of prices.
Close alternatives
Matched by legacy category (no holdings report for this fund).
No close alternatives found.
Questions investors ask
Is IFED an ETF or an ETN?
IFED is an ETN, not an ETF. An ETF is a fund that owns a basket of securities for its shareholders. IFED is unsecured debt issued by UBS. It pays the return of the IFED Invest with the Fed TR Index, minus fees, and owns no assets on investors' behalf. Holders depend on UBS's ability to pay, and UBS can redeem the notes early, before they mature on September 15, 2061.
Does IFED pay dividends?
No, IFED has no recorded distributions. The 'TR' in its index name usually stands for total return. That means dividends from the index's stocks are treated as reinvested rather than paid out, so any gain shows up in the note's value. Someone who needs regular cash would have to part with notes to raise it. That hurts most after a fall such as the 22.4% drop between February 19 and April 8, 2025.
What is IFED's expense ratio?
IFED is a note, not a fund, so its cost is not a fund expense ratio. Instead, UBS deducts fees from the index return. UBS's offering documents for the notes give the fee rate and how it is calculated. Because those fees come straight out of what holders receive, they are worth comparing with the costs of funds that follow similar stock strategies.
What is IFED's 5-year return?
IFED returned about 11.9% a year over the five years to October 27, 2026, or 76% in total, based on its price. Over three years it returned 18.3% a year. By calendar year, it fell 1.5% in 2022, then rose 20.8% in 2023, 23.0% in 2024 and 15.0% in 2025. For 2026 through October 27 it was down 0.2%, and it was down 2.3% over the 12 months to that date.
Is IFED good for retirement?
IFED looks more like a higher-risk satellite than a core retirement holding. As of October 27, 2026, its price swings, measured by one-year volatility, were 36.3%. It fell 22.2% from its March 2022 peak to its October 2022 low and took 13.6 months to recover. It has recorded no distributions, and it carries UBS credit risk and early-redemption risk. Past results don't predict the future, and the whole portfolio matters more than any single holding.