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I've got plenty of them. Happy to hold them to maturity (3-6 months) for a guaranteed 5.5%
by laweijfmvo 3y ago
I've got plenty of them. Happy to hold them to maturity (3-6 months) for a guaranteed 5.5%
- coolbreezetft22 3y agowhat's the benefit to this over a CD, which have similar yields (and can be locked in for longer terms)? Or a savings account event which several now offer 5% rates
- dragontamer 3y agoIf you live in a state with income taxes, there's no State-level income tax on Treasury Bonds. There's also far more liquidity. You can easily transfer the Treasury Bonds around and sell them (of course, if the %yield changes, you could sell them for more... or less... than you originally paid).
- deleted 3y ago[deleted]
- koolba 3y agoThose are not treasury bonds. They’re treasury bills. The nomenclature changes based on the term. Two years or less are bills. Ten year or less are notes. The rest are bonds. Nobody wants bonds.
- nostrademons 3y agoThe article is about Treasury bonds (maturities of 20-30 years), not Treasury notes (maturities of 2-10 years) or bills (maturities <= 1 year). You're holding Treasury bills. This is a technicality, but one that matters in the context of the article and this comment thread. The article's saying that investors are dumping Treasury bonds (long-term securities) for Treasury bills (short-term securities) which pay higher interest rates at lower risk levels. Your post is corroborating it.