Why would you be limited to cash?
You can reinvest TIPS coupons in a TIPS fund, you can reinvest treasury coupons in a treasury fund, etc. Then you can periodically sell the accumulated fund shares and buy an individual bond.
Of course, if you are just rolling everything and not spending the coupons and maturing bond proceeds, there's probably no reason to use a ladder instead of a fund.
You can reinvest TIPS coupons in a TIPS fund, you can reinvest treasury coupons in a treasury fund, etc. Then you can periodically sell the accumulated fund shares and buy an individual bond.
Of course, if you are just rolling everything and not spending the coupons and maturing bond proceeds, there's probably no reason to use a ladder instead of a fund.
Statistics: Posted by jeffyscott — Sun Jul 07, 2024 9:23 am — Replies 2 — Views 371