Delawaredave5
Full time employment: Posting here.
- Joined
- Dec 22, 2004
- Messages
- 699
401k at w*rk has a "Stable Value" fund.
What is this ? With recent "bond concerns" - is stable value fund "toast" also ?
My understanding is these are GICs ? Guaranteed Insurance Contracts ? Not bonds.
What I hear is these are either shorter duration contracts and/or have some callable /cancellable feature in rising interest environment.
So if rates spike, these will go up, surely some lag, but the return isn't hammered like bond.
Or I'm dreaming.. Appreciate any thoughts !
What is this ? With recent "bond concerns" - is stable value fund "toast" also ?
My understanding is these are GICs ? Guaranteed Insurance Contracts ? Not bonds.
What I hear is these are either shorter duration contracts and/or have some callable /cancellable feature in rising interest environment.
So if rates spike, these will go up, surely some lag, but the return isn't hammered like bond.
Or I'm dreaming.. Appreciate any thoughts !