Hi, Shrewd!        Login  
Shrewd'm.com 
A merry & shrewd investing community
Best Of BRK.A | Best Of | Favourites & Replies | All Boards | Post of the Week!
Search BRK.A
Shrewd'm.com Merry shrewd investors
Best Of BRK.A | Best Of | Favourites & Replies | All Boards | Post of the Week!
Search BRK.A


Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)
Unthreaded | Threaded | Whole Thread (13) |
Author: Baybrooke   😊 😞
Number: of 15062 
Subject: Re: NOT OT: GUNDLACH
Date: 03/18/2023 2:01 PM
Post New | Post Reply | Report Post | Recommend It!
No. of Recommendations: 10
Just a reminder, the vanguard federal mmf currently yields 4.6.'

This is easier:
VGSH Vanguard Short-Term Treasury ETF
30 day SEC yield 4.73%


It may be easier, but it's not the same.

When investing in bonds you need to pay attention to both credit risk and duration risk.

Obviously there is no credit risk in both, but VGSH has a duration of 1.9 years whereas Federal Money Market Funds have a duration of 7 days.

Duration risk, also known as interest rate risk, is a measure of the effect on price changing interest rates will have. This can work for or against you depending on which way interest rates are going.

If the goal is to have cash which is earning some interest, a Federal Money Market Fund is absolutely the way to go.
Post New | Post Reply | Report Post | Recommend It!
Print the post
Unthreaded | Threaded | Whole Thread (13) |


Announcements
Berkshire Hathaway FAQ
Contact Shrewd'm
Contact the developer of these message boards.

Best Of BRK.A | Best Of | Favourites & Replies | All Boards | Followed Shrewds