You can buy TIPS out a year or less on the secondary market, so if unexpected inflation hits, you'll still be covered. No reason to not get inflation protection until the Fed stops trying to fight it.It absolutely will. T-Bills are risk free investments guaranteed by full faith of U.S Treasury.
Interesting - your thoughts are that markets can crash by 90% and cash will retain value.
Do you believe U.S Treasury 3-month bills will not retain value? and how? The U.S Govt will default??
3-month t-bills are immune to inflation and deflation and they are guaranteed by full faith of U.S Govt, no credit default risk, you will absolutely get your principal and interest payments back, keeping up with inflation or deflation.
I really think the 10% T bill position is really about having adequate spend. Probably best to think about it in years of expenses.
Statistics: Posted by rockstar — Sun Jan 26, 2025 8:40 pm — Replies 223 — Views 33223