For investors who want to bet on rising inflation, the recent launch of an exchange traded fund (ETF) in the US stock market is a big "boon". The ETF may best meet their needs, and its ticker code is exactly the same as "PPI".

It is reported that "AXS Astoria inflation-sensitive ETF" invests in individual stocks, ETF, inflation-protected bonds (TIPS) and commodities, all of which, according to historical statistics, respond to soaring inflation.

It is understood that about 90% of the fund's assets are equities, of which oil and gas, banks and steel are its main investment sectors, and about 59% of its assets are located in the United States.

The code for the ETF is simple and straightforward, named directly after the producer price index (PPI), one of the widely accepted measures of inflation. It is understood that this ETF is the first ETF released by AXS Investments and will be actively managed by John Davi, founder and chief information officer of Astoria Advisors.

Us inflation soared to a nearly 40-year high in 2021, which Wall Street expects to be one of the main risks in 2022.

In the Wall Street investment outlook screened by Bloomberg, the word "inflation" is the most frequently cited term, often paired with descriptive words such as "higher" or "rising".

Against this backdrop, there has been a surge in demand for secondary market investment linked to inflation, and investors want to hedge against rising prices. Bloomberg statistics show that all ETF with the word "inflation" in its name or ETF description achieved capital inflows last year.

Athanasios Psarofagis, an analyst at Bloomberg Intelligence ETF, said PPI is a diversified ETF solution to inflation. "in the face of inflation, most investors are not thoughtful enough and often just buy TIPS, so investors will also miss out on some other more appropriate investment options, such as related stocks and commodities."

"an expansionary multi-asset class approach provides investors with a powerful solution to dynamically hedge against inflation and potentially produce positive investment results adjusted for real interest rates," Davi said in a press release.

Greg Bassuk, CEO of AXS Investments, said that although the PPI ETF is the first time AXS Investments has set foot in the ETF business, the company is confident and plans to expand this part of the business in the coming months.

The "PPI" ETF officially began trading on the New York Stock Exchange on December 30, 2021, with a fee ratio of 0.7% for the ETF.