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No. of Recommendations: 3
if you are stuck in a brokerage money fund, check the yield
tdai does 0.25% tops if you have 7 figures, less for other numbers

BIL is an alternative - a good one
holds 1 to 3 month rolling treasuries
ytm is currently 1.7%

click on the NAV history
21-Mar-2018 91.480231
20-Mar-2018 91.475215
19-Mar-2018 91.471354
16-Mar-2018 91.468068
15-Mar-2018 91.456986
14-Mar-2018 91.454121
13-Mar-2018 91.454369
12-Mar-2018 91.454693
09-Mar-2018 91.453803
08-Mar-2018 91.44182
07-Mar-2018 91.438999
06-Mar-2018 91.43616
05-Mar-2018 91.433719
02-Mar-2018 91.431305
01-Mar-2018 91.423026
28-Feb-2018 91.498105
27-Feb-2018 91.493523
26-Feb-2018 91.490523
23-Feb-2018 91.487417
22-Feb-2018 91.478354
21-Feb-2018 91.472984
20-Feb-2018 91.467469
16-Feb-2018 91.464307
15-Feb-2018 91.454367
14-Feb-2018 91.451876
13-Feb-2018 91.446006
12-Feb-2018 91.44408
09-Feb-2018 91.443596
08-Feb-2018 91.435484
07-Feb-2018 91.431358
06-Feb-2018 91.429166
05-Feb-2018 91.428109
02-Feb-2018 91.427979
01-Feb-2018 91.418423

what is does is up go up and then falls ex-dividend
but it mostly goes up each day as you would expect
1.7 right now is $1.55, so up 11 to 13c each month
if short term rates go up, then this goes up too

this is a no brainer if you have a tda account where bil is also commission free
assuming you have semi-permanent cash levels where you are waiting
but it can make sense depending on the commission level too in a lot of accounts

there are other alternatives of course
but these are treasuries - no worry (absent short-term issues with debt ceilings)

just 2c - not a recommendation, but i would want to know about it
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No. of Recommendations: 1
I'm missing something because when I look at the actual distributions for BIL I'm not
seeing anything close to 1.7%. The 30-day SEC yield is 1.30% and the actual yield looks lower
than that. Again, I'm probably missing something.

What I've been doing is buying short-term treasuries on the secondary market through
Fidelity no commission. Last month I got a two month term for an effective yield
(annualized) of about 1.5%. I've been doing this for the last year or so at various
terms and rates. The purchases have held their value or risen a little through the term.
Never tried to sell one. Just let them reach maturity and repeat.

If there's a better way I'd be all Ears.

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No. of Recommendations: 1
i used to buy UST with the same goal - but I needed to be more liquid; USTs may still serve your purpose given no spread though BIL seems to trade halfway between the bid and ask on my trades, esp. if you can use odd lots; makes more sense if the ETF is commission free (it isn't at Schwab I know)

re: the yield
if you notice in the link under fund characteristics the duration is .11 years - so things go out pretty quick; so as short-term rates have risen, so has the ytm on the USTs - so the figures you've quoted are backward looking (though the 1.7% doesn't given effect for the .14% expense ratio but if rates continue to rise you will get the benefit there; again, not perfect, but liquid and attractive relative to brokerage money funds. I'm using them as a 100% money fund substitute - obviously better in an IRA cause otherwise you can get wash sales with sales...
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