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Is it a good time now to get into bond funds?
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bdunham7:

--- Quote from: engineheat on March 20, 2023, 05:40:05 pm ---Yes, I see it as "losing less". But where else should one put their money in this environment? What are the better alternatives? Real estate is at all time high. The stock market is still overpriced. I understand inflation is higher than the 4-5% that one gets from CDs or US Treasury bills now, but it's still better than -10% or -20% should the stock market crater like it did in 2022. Thoughts?

--- End quote ---

It isn't really reasonable to expect a passive, liquid and 100% risk-free 'investment' to yield a return greater than inflation.  As I posted earlier, iBonds (for taxable accounts), TIPS (for tax-deferred accounts) and if you go with other things, stay short term and go for the highest safe yield now.  Unless you want a greater return in exchange for some risk, in which case I wouldn't want to give any advice and you probably shouldn't be looking for it here! 
wn1fju:
For that part of your portfolio that you have dedicated to fixed income, open up a treasurydirect account and start laddering T-bills or 2-year T-notes.  No state income taxes to pay, no FDIC insurance to worry about, no brokerage or fund fees to ream you.  You want a safe, reliable, predictable return.  You're not going to "beat the market" anyway unless you are very, very lucky or a financial criminal. 

All the above in my humble opinion.
bdunham7:

--- Quote from: wn1fju on March 20, 2023, 06:09:11 pm ---For that part of your portfolio that you have dedicated to fixed income, open up a treasurydirect account and start laddering T-bills or 2-year T-notes.  No state income taxes to pay, no FDIC insurance to worry about, no brokerage or fund fees to ream you.  You want a safe, reliable, predictable return.  You're not going to "beat the market" anyway unless you are very, very lucky or a financial criminal. 

--- End quote ---

Fidelity and Schwab charge very little or nothing (treasury and brokered CDs) and give you some additional options over TD.  CDs and agency bonds (read up on how those work, they are typically callable) are yielding more than treasuries and are realistically just as safe if done right.

jpanhalt:
I believe Schwab may charge a little for brokered CD's but have been told it handles secondary Treasures without a charge.  Roughly 4.7% has been the highest rate for short term for awhile.  Some banks, e.g., Ally*, offer 11 to 13 month CD's (period varies) at 5%.  Remember CD's are lumped with all accounts in the same name with that bank for FDIC insurance.  IRA's are a different account type, so far as I know, and are not lumped with savings and checking accounts.

*Check the "at risk" rating.  Ally was listed as one, but FDIC will protect you under the applicable limits (i.e., "per depositor).
engineheat:
Speaking of US government bonds, what do you think will happen to it if they don't raise the debt ceiling and Uncle Sam go into default? If someone has $100k in US Treasury bills, does it just go to zero?
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