FYI: Ultrasafe investments, like short-term Treasuries, are an effective way to diversify an all-stock portfolio as they tend to hold up well during periods of market distress. Treasuries are backed by the full faith and credit of the U.S. government, so they don’t carry the credit risk that is embedded in corporate bonds. Those with relatively shorter maturities are less sensitive to changes in interest rates than their longer-maturity counterparts. But this high degree of safety means they won’t provide exceptional returns. So, keeping costs low is an important consideration when choosing a Treasury fund. Schwab Short-Term U.S. Treasury ETF (SCHO) provides great exposure to these stable assets. Its strong index-tracking record and rock-bottom price tag support a Morningstar Analyst Rating of Silver.
Regards,
Ted
https://www.morningstar.com/articles/920359/play-defense-with-this-treasury-etf.html
