Not completely... just partially or mostly?
Here's my situation. I had a pretty decent stock/bond target and was moving toward to "near 0 maintenance" investment strategy but I just had this block on buying bond ETFs.
So here's what I did. I took 50% of my "fixed income" block and built a CD ladder at Ally that gets about 1.6%/yr. This is roughly the return of BNDX's dividends and about 1% under BND but I'm just having a hard tine seeing those funds go up substantially and I can imagine a reasonable drop if interest rates climb.
The CDs just seem like they more accurately reflect the risk/reward profile in that part of the portfolio? What do you guys think?
Sent from my HTC One_M8 using Early Retirement Forum mobile app
Here's my situation. I had a pretty decent stock/bond target and was moving toward to "near 0 maintenance" investment strategy but I just had this block on buying bond ETFs.
So here's what I did. I took 50% of my "fixed income" block and built a CD ladder at Ally that gets about 1.6%/yr. This is roughly the return of BNDX's dividends and about 1% under BND but I'm just having a hard tine seeing those funds go up substantially and I can imagine a reasonable drop if interest rates climb.
The CDs just seem like they more accurately reflect the risk/reward profile in that part of the portfolio? What do you guys think?
Sent from my HTC One_M8 using Early Retirement Forum mobile app