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re: IMO, best place to park cash...

Posted on 2/15/24 at 8:45 pm to
Posted by GREENHEAD22
Member since Nov 2009
19625 posts
Posted on 2/15/24 at 8:45 pm to
quote:

quote:
But the 4.75% you mentioned is specifically from the monthly dividend that my USFR would pay out. Is that right?

Yes, although it's well up over 5% now.


This is a confusing statement, these funds are not paying out the yield monthly. The yield is a yrly yield and the percentage is based on the previous months average rate, correct?

Posted by Pendulum
Member since Jan 2009
7056 posts
Posted on 2/15/24 at 9:16 pm to
It's the gains and divi that add up to the yield. Which last check is somewhere around 5.4% currently.

LINK

Sec30day is 5.38, here is a pretty good article that articulates how this calculation works.

LINK

Can't thank big scrub enough for pointing out this fund, have had all my cash sitting in usfr since looking into it because of this thread. I dont see anything else with the same yield vs liquidity sweet spot this thing has at the moment.
This post was edited on 2/15/24 at 9:18 pm
Posted by slackster
Houston
Member since Mar 2009
85115 posts
Posted on 2/15/24 at 9:28 pm to
quote:

This is a confusing statement, these funds are not paying out the yield monthly. The yield is a yrly yield and the percentage is based on the previous months average rate, correct?


Depends where you look. Many sites quote trailing yield which can be misleading. Best place to check the annualized yield (which is changing weekly) is Here.
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