Any better account to hold $ in besides VMRXX

I think that is a great place to hide. Liquid, safe, flexible.

I’ve got mine in there too.

Question tho, what is the implications of this debt ceiling worry on the money market funds?

If the US does default and not increase the debt limit, are money market accounts F’ed?

quote:

---

Damn I like it, but its not available through TDA

---

SWVXX, which is available on TDA, has a 7 day yield of 4.9% - so the difference is negligible. Or you can buy 4 week T-bills, which are currently at coupon equivalent 5.5% and/or 13 week bills at coupon equivalent 5.25% (and remember the state and local tax benefits of T-bills over taxable MMFs).

quote:

---

wouldn’t the 5.5% rate here be the annual equivalent?

---

Yes.

Real up side is the short term, so you can apply free money in your brokerage account to the t-bills.

quote:

---

at the end of the 4 week period?

---

Annualized Rate, not 4 week rate

If you have a Vanguard account I'd say yes

quote:

---

Annualized Rate, not 4 week rate

---

That's what I thought. So am I wrong for assuming if he puts $20K in to a 4 week T-Bill that he will not earn 5.5% interest (i.e. $1,100 in interest) at the end of that 4 week period?

Another way of asking - what $$ will he get in interest at the end of the 4 week term on $20K principal with a 5.5% annualized rate?

Can I get them through Vanguard?

Thanks

nm