I just got done talking for an hour on my show about crap like this, so I'm in the right frame of mind to discuss this. Munis are working right now because peo

I just got done talking for an hour on my show about crap like this, so I'm in the right frame of mind to discuss this. Munis are working right now because people with deeper pockets (pensions, institutions) are forced to allocate capital here. Essentially, cash is not an option. The risk for Munis on the short term is pretty fair, and we're probably not going to see a crash in the asset right now solely for the fact that it's so blindingly obvious. Define "cash." Holding onto the dollar may not make sense in this interest rate environment because our printing presses are the fastest on the planet. Gold sucks when the yield curve is this steep. You could try a carry trade and pick up some AUD or NZD... follow the ticker DBV to see how that's doing. Also, you could try LT government bonds-- the feds have had a crapton of auctions, and with the deficit is going they have an interest in keeping 30year rates low. The joe-retail trader way to play this is TLT, which is looking technically healthy. But with all this financial rambling, this is Hacker News. I absolutely agree with you-- the best asset you have right now is your business, so I would claim diversification is stupid, don't focus on the market because you can get much higher returns doing something that doesn't require yield curves. Odds are, you don't have enough cash to worry about munis.