No. of Recommendations: 8
Higher yield with VBIL. Any other advantages/disadvantages?
VBIL has all the advantages compared to SPAXX as others have mentioned. Fidelity allows fractional shares so mutual fund vs ETF is not a factor either.
However, also consider TFLO if you want ultra-short duration government bonds. Close to 0 duration. Higher expense ratio of 0.15% vs 0.97% for VBIL, compensated amply for by higher yield due to a positive FRN spread. Also exempt from state taxes, which is a big deal for me personally since I live in California.
