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Short-term Treasuries for some (or all) of one's fixed income position
10-12-2022, 03:36 PM
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#1
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Full time employment: Posting here.
Join Date: Apr 2005
Posts: 805
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Short-term Treasuries for some (or all) of one's fixed income position
Typically excellent post by David Enna on why one might want to set up a ladder of 13 and 26 week TBills on auto-roll (possible at most brokerages - Vanguard excepted)"
https://tipswatch.com/2022/09/21/sho...ttractive-now/
Given raging inflation and the very real possibility of a sustained bear market in bonds I'm starting to think Jonathan Clements' approach of keeping all of one's fixed income in TBills and VTIP may be the best approach going forward - at least for those without the resources or interest in building a TIPS ladder to cover some or all essential living expenses.
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10-12-2022, 03:43 PM
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#2
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Thinks s/he gets paid by the post
Join Date: Mar 2009
Posts: 2,960
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Maybe or not? Rates can go down just as quick as they went up. Anyway I'll stick to my LMP ladders and take what the market gives me. The equity portion of my portfolio provides all the excitement I need.
__________________
Took SS at 62 and hope I live long enough to regret the decision.
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10-12-2022, 04:04 PM
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#3
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Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 36,798
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This would be good in the dedicated treasuries thread.
https://www.early-retirement.org/for...-new-post.html
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Retired since summer 1999.
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10-12-2022, 04:16 PM
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#4
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Thinks s/he gets paid by the post
Join Date: Jun 2013
Posts: 2,506
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 Quote:
Originally Posted by foxfirev5
Maybe or not? Rates can go down just as quick as they went up. Anyway I'll stick to my LMP ladders and take what the market gives me. The equity portion of my portfolio provides all the excitement I need.
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What does LMP stand for?
__________________
"Luck favors the prepared mind"
Pasteur
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10-12-2022, 04:21 PM
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#5
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Administrator
Join Date: Jan 2008
Location: Chicagoland
Posts: 39,870
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Quote:
Originally Posted by Golden sunsets
What does LMP stand for?
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Lemon meringue pie?
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10-12-2022, 04:24 PM
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#6
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Thinks s/he gets paid by the post
Join Date: Mar 2009
Posts: 2,960
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Quote:
Originally Posted by Golden sunsets
What does LMP stand for?
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Sorry. Liability Matching Portfolio. Fixed income maturities that match my future income requirements. Done with nominal securities, TIPS and Series I Bonds. Personally I use several ladders of each to cover my needs. Combined with an equity stake for the excess I hope I'm covered.
__________________
Took SS at 62 and hope I live long enough to regret the decision.
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10-12-2022, 04:29 PM
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#7
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Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Join Date: Feb 2013
Posts: 9,358
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I also Googled LPM, got Last Menstrual Period and was confused.
__________________
Even clouds seem bright and breezy, 'Cause the livin' is free and easy, See the rat race in a new way, Like you're wakin' up to a new day (Dr. Tarr and Professor Fether lyrics, Alan Parsons Project, based on an EA Poe story)
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10-12-2022, 04:37 PM
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#8
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Thinks s/he gets paid by the post
Join Date: Mar 2009
Posts: 2,960
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Quote:
Originally Posted by MichaelB
Lemon meringue pie?
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Really? If I want to be mocked I'll call one of my kids.
__________________
Took SS at 62 and hope I live long enough to regret the decision.
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10-12-2022, 04:41 PM
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#9
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Thinks s/he gets paid by the post
Join Date: Mar 2009
Posts: 2,960
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Quote:
Originally Posted by daylatedollarshort
I also Googled LPM, got Last Menstrual Period and was confused.
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Your dyslexia is showing.
__________________
Took SS at 62 and hope I live long enough to regret the decision.
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10-12-2022, 05:15 PM
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#10
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Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Join Date: Feb 2013
Posts: 9,358
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Quote:
Originally Posted by foxfirev5
Your dyslexia is showing.
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As it often is!
__________________
Even clouds seem bright and breezy, 'Cause the livin' is free and easy, See the rat race in a new way, Like you're wakin' up to a new day (Dr. Tarr and Professor Fether lyrics, Alan Parsons Project, based on an EA Poe story)
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10-12-2022, 05:21 PM
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#11
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Thinks s/he gets paid by the post
Join Date: Mar 2009
Posts: 2,960
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Quote:
Originally Posted by daylatedollarshort
As it often is!
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Happens to all of us !
__________________
Took SS at 62 and hope I live long enough to regret the decision.
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10-12-2022, 05:35 PM
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#12
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Thinks s/he gets paid by the post
Join Date: Mar 2012
Posts: 3,753
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Recency bias.
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10-13-2022, 03:29 PM
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#13
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Dryer sheet aficionado
Join Date: Nov 2013
Posts: 44
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I am in the midst of constructing a ladder of 8 week T-bills with auto rollover for a chunk of my emergency cash stash. Pretty easy to do on Fidelity; the only challenge is remembering to place a buy order each Wed morning.
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