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TeflonShawn42069 t1_j6o98wk wrote

The rates have been trash for pretty much the last decade and a half.

These conversations are 100% coming back now that the rates are more attractive.

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F8Tempter t1_j6olgde wrote

this. For most of our generation's adult life these options were not great. there was a short period around 2017? when HYSA started coming back to life, but it was short lived.

now rates are the highest we have ever seen (in our short lives) so ya, CDs and Bonds/Bills are back in the discussion.

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nrj3697 t1_j6obeao wrote

Im wondering if doing CD ladders would be a plus right now for the long term while rates are high and lock them in.

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lucky_ducker t1_j6p5o9y wrote

T-Bills are very close to CD rates right now, and are far more liquid than CDs.

Money market funds (another unloved investment) are paying around 4.3% compared to 4.65% for T-Bills, and are not only as liquid, they are immune to interest rate risk.

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nrj3697 t1_j6paw1z wrote

What do you mean by interest rate risk

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Six-mile-sea t1_j6oh89r wrote

I’ve been laddering t-bills which have been doing way better than cd’s. Pulled the plug to close distressed RE now that prices have dropped out of the stratosphere.

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TeflonShawn42069 t1_j6om7zn wrote

I like cd ladders too, but I'm staying short-term until there is a fed meeting where the rate either doesn't change or goes down.

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mylord420 t1_j6p1whm wrote

For the long term you want equities still. Nothing will beat stocks for the long run.

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nrj3697 t1_j6par4r wrote

Very true. I’m thinking like less than 5 years

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