No. of Recommendations: 1
Yeah, I did lock in some cds at higher rate, but obviously did not move fast enough. Not sure what to do now...the mm at Fidelity and Vanguard is higher than cds but that is no doubt very temporary. Bonds don't look very enticing...can't see locking in a return of 2.8 percent or so for several years. Ideas? Right now I see little to do except ride it out, bust maybe this is incorrect, so all suggestions are welcome.


I hate to say I told you so (NOT!). But I have been saying that sticking with short term when you don't need the liquidity is generally a mistake. Laddering at least gets you average intermediate rates. Unfortunately the last interest rate cycle was bad for savers, so the high point above inflation was about historical median above inflation (I don't remember the exact number, but probably at least a point below what the average high point in a cycle has been). Bad news for savers and one reason so many "innocents" got stuck running after high risk returns that were packaged as low risk.
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