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

Posted on 2/15/24 at 9:16 pm to
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 Big Scrub TX
Member since Dec 2013
33578 posts
Posted on 4/25/24 at 3:49 pm to
Thought I'd bump this given the recent move up in rates. We seem to be in a "higher for longer" environment, so I like USFR as much or more than when I first created the thread last year.

Presently, it's yielding around 5.47%. That's a solid 20-40bps higher than the Schwab money markets I usually compare it to.

With the 10 year up to 4.6%, there's an argument for extending duration now. I don't really want to, personally, as I think it's "higher for longer"...for awhile.


I still like leaning into the extreme front end and milking it for all it's worth.
This post was edited on 4/25/24 at 4:51 pm
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