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Not much to add to the "health" discussion. After I retired about 10 years ago, I started focusing on bond oefs, and I did well with them, with limited stress until 2018. Starting in 2018, bond oefs became much less predictable for me, and I went through several very stressful periods, and was faced with having to trade much more often, and not always very successfully. I got through the period of 2018 through March 2022, made modest profits each year, but with increasing stress that I had to manage. When I started investing in CDs in 2022, I was able to make decent investing returns, but with virtually no stress. I don't know how long CD investing will continue to be financially rewarding, but I enjoy the lack of stress, I sleep better, and I can focus on other things in life that bring my wife and I great joy in our remaining years. It is hard to put a price on how valuable that is to me and my wife.
Said already several times. The main reason I use lower yield, "safer" MM with no gates because 1) The extra 0.2-0.3% (or a bit more) is *negligible on an annual basis. 2) I also have more than enough and can stay in MM for years but I'm using mostly bond funds. When I'm in the market, I invest at 99+% which is guaranteed by MM with no gates.
I noticed that Bank CD offerings at Schwab, are bumping up slightly with more banks offering 5.3% CDs for almost all periods of 1 year or shorter. 18 mo CDs are also bumping up slightly, but not quite to 5.3% yet. Longer than 18 months are not changing much yet.
Comments
Agree with both of you.....health!
1) The extra 0.2-0.3% (or a bit more) is *negligible on an annual basis.
2) I also have more than enough and can stay in MM for years but I'm using mostly bond funds. When I'm in the market, I invest at 99+% which is guaranteed by MM with no gates.
*I meant to write negligible.
Hard to see how "The extra 0.2-0.3% (or a bit more) is negligent" on any basis.