SGOV

Inevitable_Pin7755

You’ve already done most of the hard stuff right. Emergency fund is solid, tax-advantaged accounts are maxed, and you’re not overcomplicating things. The VOO + VXUS split is fine and pretty standard. If anything, 15 percent international is a bit on the low side compared to global market weight, but it’s not wrong, especially if you’re more comfortable being US-heavy. The 30 percent in SGOV makes sense given you’re planning to buy a house in about 5 years. That part is basically acting as dry powder and volatility control. The only thing to think about is whether that 30 percent is meant to be truly “house money” or just ballast. If it’s for a down payment, you might want to mentally separate it and gradually increase the cash like allocation as the purchase gets closer. One thing I’d also consider is whether you actually need a taxable brokerage for more equities right now, given how much you’re already putting into tax-advantaged accounts. It’s fine to do, just be aware you’re adding some tax drag compared to stuffing more into Roth or mega backdoor space if available. Overall though, nothing here screams mistake. It’s boring, diversified, liquid where it needs to be, and aggressive enough for someone in their mid 20s. That’s usually a good sign.

leaning_on_a_wheel

30% SGOV only if you’re very risk averse. I would invest everything beyond your emergency fund in the stock market.

Iunatic

You should have seen this sub in April. Every other retard was boasting about the fall of America or how they had been sitting in SGOV the whole time. It was a time of free money but most people don't know how to actually buy low because they need others to think for them.

Skizm

SGOV

Various_Couple_764

Almost all investors have a cash account. And most of the time it is in bank or taxable brokerage account. Partially for emergencies and pratially to help handle the big unexpected bill. But that said the cash account is the first step in the a taxable account. A emergency cash fund won't last long is you loose your job in recession. It could take form than a year to find a new job. FPassive income is better because the money will not run out. A fund like CLOZ 8% will pay a dividend (passive income. It will take time to build up the money in CLOZ to get meaningful passive income from it. If you don't need the passive income simply reinvest the funds. Or use the money to fund your Roth account or pay monthly bills. But it things go bad turn off any automatic dividend reinvestments. The dividends will then show up as a cash depoist into your money market account. I realize this in my 50s and took some excess growth I had in a taxable account and built up pasive income of 5K a month and retired. I am currently suing the passive until my retirment account become available. Some People use SGOV instead of CLOZ. Others may use riskier funds like PBDC 9% yeid, EMO 9%, ARDC 9% UTF 7% or UTG 6.3%. Other other will use covered call bunds like BTCI, QQQI, and SPYI.

markgriz

I keep a couple months expenses in a HYSA. 6 months worth in a 4 week T-bill ladder, though I think SGOV would be almost as good

YouAreCorrectSirYes

SGOV

FrankDrebinOnReddit

No, he asked if he should. And the answer is he should not unless this money is extra beyond the emergency fund. He should open a brokerage account and buy SGOV or MMFs.

Sugamaballz69

SGOV is 3.76% not 4.1%

justanotherstranger2

SGOV

MaybeTheDoctor

This seems to be the only valid answer here. OPs friend should consider with how short notice he would need the money back should shit come to shove. Of “quick” like within a week, put it into a money market fund or SGOV as they are low risk high liquidity. If longer horizons like years or retirement saving a broad market or target date fund as long as he can resist panic sell on dips. Panic sell is how most people lose money in investments.

Firebird5488

For emergency cash (5 months living expense if you have risk of getting laid off) below to get extra yield off them. Ally 3.3% with state tax on interest. Fidelity SPAXX (core money market fund) 3.62% instant access and about 52% of interest is state tax free. SGOV is currently 4.1% with little to no state tax. Would take a day or two to sell and access compared to traditional savings account. All 3 yields go down as interest rate gets cut. Yield calculator if your state has tax. [https://digital.fidelity.com/prgw/digital/taxyieldcalc/](https://digital.fidelity.com/prgw/digital/taxyieldcalc/)

FrankDrebinOnReddit

I have a Fidelity cash management account and buy 2/3 SGOV (0-3 month t-bill ETF) and 1/3 money market funds (for the fast access).

jnads

SGOV holds very short duration bonds, only 13 week bonds and they're bought in rotating tranches so 1/3 matures every 5 weeks. So if the fund dips, all you have to do is wait and then fund will right side as the bonds mature. The only way SGOV dies is in a hyperinflation scenario where people are literally trying to stop saving money.

Masked-Redditor

No actually that guy was right. You can't lose money if you held the underlying bond yourself. But a bond ETF works slightly differently than that. \> it’s possible to lose on BIL and SGOV if interest rates crash or move quickly. I said sure ... Given that you don't get basic facts about the relationship between a bond's secondary market price and interest rate, I also wouldn't bother trying to explain it to you. (FYI, it can happen in interest rate *spike*, not *crash*).

rithsleeper

Some guy who said he was a financial advisor once told me it’s possible to lose on BIL and SGOV if interest rates crash or move quickly. I said sure until you hold for 3 months time. Then it will break even ALWAYS. He still instead I’m stupid and he couldn’t be bothered to take the time to explain things to me….. It’s a 3 month treasury. You can’t lose money unless the us gov stops paying their debt.

Artistic-Western6342

The price drop is a mechanical reset. When SGOV goes ex-dividend, the accumulated interest moves from the share price into your cash account. Because the fund holds ultra-short Treasuries, your principal is shielded from the volatility seen in the 1994 bond rout. Which means your total return is intact; you’re simply seeing the internal accounting of a bank ledger made public.

Siks10

If you need the money in 3-5 years, you should keep them in something that doesn't risk losing value, like SGOV

Various_Couple_764

The drop went hey pay teh dividend is small and insignificant. So don't worry about it. But like all funds traded on the market it can drop in a market crash. When a market crash occurred rational buy and sell stops and panic selling takes over SGOV can also see a drop in share price. When peoplebanic sell they sell everything including good reliable funds like SGOV see a share price drop. And if you selll when there is a panic sell off you could loose some money. How much is impossible to know.

azure275

Oh no! My \~$100 a share SGOV dropped 20 cents (0.02%) I am now screwed! That 0.02% really cuts into my 4.16% yield after all Welcome to the world of NAV and why ETFs don't work like money markets. There's a specific pattern going on that always evens out

wentwj

To make this simpler to understand, lets say SGOV went from $100 to $101 and paid a $1 dividend. you buy one share at $100.50, so you invested $100.50 total. The price rises to $101.00 and then a $1 dividend is paid. You now have $1 in cash from the dividend, plus the share of SGOV worth $100, for a total value of $101. Your brokerage will show your SGOV share as being a $0.50 loss as SGOV is now worth $100 when you paid $100.50, though it is obvious through the exercise you did not lose money and are up.

Lucky_Platypus341

No. Look at the 1 year trend. See how it marches up and then drops like a sawtooth wave? The price includes the dividends earned since the last distribution (monthly except there are 2x in Dec and none in Jan). Your bank shows your balance then pays interest say monthly based on your "average daily balance." So, if you put $100 into the bank, then took it out in the middle of the month, you would have to wait to the end of the month to get your half-month of interest. When you sell SGOV, you IMMEDIATELY receive your partial month dividend as part of the sales price -- no waiting! The price drops when the dividend is paid out to current eft holders. In the same way, if you buy SGOV in the middle of the month, you will pay a higher price to account for the dividend you didn't earn (paid to seller) since you will receive the whole month's dividend later. Tl/dr: it's just a different bookkeeping method that is actually cleaner than bank interest payments and you don't have to wait (since you get your part of the dividend when you sell). The difference in buy/sell price may mean that up to a month of dividend is treated as capital gains instead of as a dividend.

Consistent-Pin-446

SGOV all of it, aggressively DCA into VTI

GaylrdFocker

SGOV is mostly (maybe fully) state tax exempt. Your money market can be partially too so depends which it is.

ra__account

I pay less on margin on some accounts than SGOV yields.... *There's lots of ways of getting leverage that dont involve margin accounts.* I never said it was the only way; you still haven't explained why a high net worth investor wouldn't use it. *High net worth individuals dont trade on margin. That's a fact. Period.* That is a stupid statement. High net worth is generally defined as $1 million+ liquid and there's *a lot* of people that meet that definition. There's basically nothing every one of those people have in common, from investing or not with margin or liking bubble gum ice cream that is a binary true or false other than silly things like saying that no high net worth individual has 18 arms. I'm an accredited investor from both income and net worth and as a real world example from this week, bought D on margin when the stupid wind farm news dropped and sold it the next day for a 3.5% profit. Oh no, I'll pay 6.849315068493151e-5% interest on that! Margin is just a secured loan. You can shoot yourself in the foot with it if you're foolish, but just like not paying down a mortgage early if you have a low interest rate, as long as your long term gains are higher than your long term interest (and again, you're strategic enough to avoid a margin call), it's a way to turn your existing money into even more money.

Different-Volume-129

It’s in SGOV

OnlyKey5675

VOO is the index fund I've invested in over the years. So I will likely stick with that. Is SGOV a better option than a money market account?

GuyNext

Index funds ETF are risky but if you’ve plan over 5 more years then yes but all money. Treasury ETF like USFR, TFLO, SHV, BIL, SGOV are good. Bond ETF ICSH, VUSB, PULS are good.

Heyhayheigh

Have you ever had investments before? 250k lump sum is an advanced move. You will see volatility. SGOV two years expenses and only sell when you have an urgent expense to pay for. Best of luck.

WackyBeachJustice

I have both. Both buy VT and SGOV in a couple of clicks.

cripky

Sometimes if u up bigly best to quit while ahead and put gains in SGOV or something Like a failsafe for you own retarded greed

Emotional-Power-7242

If it may potentially be needed as an emergency fund then SGOV is the only reasonable option.

gryffon5147

I have around 10% is SGOV. I'd like a meaningful emergency fund.

VegasBjorne1

If one is an adherent of Capital Asset Pricing Model (CAPM), then the optimal risk-reward will include a mix of risk-free Treasury bills (very close to cash) and a collection of diversified stocks (S&P 500). SGOV ETF would provide near immediate liquidity and extremely low risk with very modest returns. It is common for investment portfolios to have a 60/40 mix (or greater) between stocks/bonds as to reduce the portfolio volatility. This is especially true when approaching a time horizon when funds are needed (college tuition, retirement, home purchase, etc.).

BobtheChemist

If you are working and young, it makes sense to only hold a small amount of cash for emergencies. If you are older and either nearing retirement or retired, then it makes sense to keep some amount of your savings in either cash, bonds, or other liquid form that will not likely crash in value if the market has a crash. That way you will not have to sell stocks in a down turn, thus avoiding locking in large losses. During covid, I have some bonds, and when my stocks crashed 30-40%, I was able to sell some bonds at a 10-20% gain, and move that money to stocks, where it rebounded a year later and brough me a profit. Had I been retired, I would have done less, other than to sell bonds or SGOV in order to get my withdraws funded. That way I would not have to sell stocks at a loss.

Calm_Situation_1131

Just buy $SGOV. No deposits needed.

Emotional-Power-7242

1-3 year horizon is not long enough to hold any stocks. SGOV with 4% yeild, or you could maybe try to eek out 5% or something with slightly riskier corporate bonds.

Heyhayheigh

SGOV for 1-3 year horizon.

Junior-Appointment93

True. But it’s limiting your losses. Keeping your winnings and not using them to gamble. Started using my own rules 3 weeks ago. Wait 2-2.5 hours after market opens. Check 0DTE options along with RSI. That is for Monday and Wednesday. Friday I have a watch list of stocks. See what pays a decent premium and place a credit spread based on that. More wins than losses so far. Just like a casino your are always going to lose a few hands. That’s where the $20-$100 comes in. Only use what you can afford to lose safely each week or month. SGOV keeps its value and pays a monthly dividend. So your winnings will grow safely with that.

vansterdam_city

get your options permissions and sell cash secured puts at a price you like while parking the cash in TBIL / SGOV. You can get 5-8% while you wait.

Various_Couple_764

Have you considered dividends. Overall many of the companes BRK invest in are dividend producing companes know for their consistent dividend cash payments to investors. SGOV pays a dividend of about4%. You could easily get double that with funds like ARDC 9% yield, PBDC 9%,EMO 9%, CLOZ 8%, PFFA 8% you simply buy and hold the fund. And dividend are deposited into your acount. 5 5.

Big_Eye_3908

Don’t put it in spy because if the stocks crash enough that they all get assigned in a black swan event, then SPY will be crashing along with it. You’ll end up getting assigned $200k in stocks against $80, $70 or $60k of cash collateral, sweating that the rest of your portfolio keeps you above water enough that you don’t get liquidated, but that will be down as well. Keep your cash in a money market or SGOV - short term treasuries, which pays a decent monthly yield. Your scenario appears to take on a bit less risk on the surface, but in reality you are more than doubling the risk to your portfolio in the case of an adverse event, which will happen eventually. Risk management is all about getting through to the other side without being wiped out. Always think about the bad thing happening. If the market falls 20, 30, , 40%, what would happen in your scenario? Having said that, choosing great stocks, selling puts at 1.5-.2 delta, and using margin to sell additional puts for another 20% - 20k, while the cash is in SGOV earning around 4% should probably be ok. I’ve done it in the past but began unwinding that leverage this summer when we hit all time highs. I now have a nice pile of cash and only sell puts at strikes where I know that I will want to back up the truck. The only time that I’ve been using margin these days is when I see a screaming buy opportunity. Personally, I’m waiting to see how January goes. There could be a pullback with people taking their large gains after the first of the year. If we have a more significant Santa clause rally I’ll probably sell into it with some of my stocks and look for opportunities to buy back in later.

Heyhayheigh

When did you panic sell? Feb-March? Where did the SGOV money come from? For how long has it been there??

samuelj264

Maybe NOBL and some BIL or SGOV. A 70/30 or 60/40 blend. NOBL is dividend aristocrats, companies that have not cut dividends in decades. It’s not apples to apples Buffett, but similar

Heyhayheigh

If you are truly a baby investor, you should buy VOO on an auto weekly basis. Whatever you can afford. Then work to increase that weekly. Then only sell if you have an urgent expense to pay for. SGOV for emergency funds and large expenses to be paid for in one year or less. What you’re suggesting is a more balanced approach. And that’s great, but I’ve never seen someone new do a balanced approach with max effort. I have seen noobs get VOO and chill right (tons get it wrong too mind you). How do I know this balanced approach wasn’t max effort? Because they set it up 10 years ago and never progressed. They invested $100/week 10 years ago, doing the same now. I have seen people increase their VOO and chill. You will tinker with allocations, and play panic sell games with “rebalancing” and other fancy rationalizations. The fear with VOO and chill is that you might panic sell. The fear with balanced approach is that you might not progress due to having a complicated setup. A balanced approach is good to help with emotions during volatility. Volatility is a feature to the auto investor. You might not truly grasp the things I’m saying. And that’s ok. Rome wasn’t built in a day. Best of luck either way!!

brianborchers

SGOV is the ticker symbol for a particular ETF that holds 0 to 3 month treasuries. There are similar ETFs and mutual funds from all of the low cost brokers.

BagPristine4040

Silly question, which SGOV do you recommend?

brianborchers

It depends on your HYSA but SGOV should be competitive.

Aggressive-Donkey-10

If you find yourself in a hole, step one is stop digging. You don't have to keep digging/putting your paycheck into the sp500 at CAPE Shiller of 40.5, you could 1) put it into VXUS with a PE of about 15 and easily own 6000 foreign companies 2) into 100% safe cash - SGOV at 3.85% with no risk of any capital loss (Buffett has been doing this for 4 years now, with 382 Billion in T Bills just waiting for a crash - he is an ok investor) 3) a collection of BDCs/mREITs/CEFs earning around 10-11% 4) gold/silver ETFs which often outperform in recession or stagflation 5) real estate syndications - get 15-25% checkout passive pockets youtube channel, and biggerpockets website 6) Oil/Gas MLPs, like ET/EPD/MLPX 8-10% dividend yields alone about 100 other things that are easy to invest in and not the sp500 :)

BagPristine4040

Will SGOV give you the same amount (percentage) of money that HYSA is offering?

Slartibartfastthe2nd

SGOV is a short term U.S. treasury ETF that is as 'safe' as anything, pays better than a high yield savings acct, and is completely liquid (easy to get your money if/when you need it). The dividends are also tax sheltered. IMO, [SGOV](https://finance.yahoo.com/quote/SGOV/) is the 'best' place currently to keep emergency funds.

Sad-Debt789

Yup, was looking for this answer and the one about this being personal finance. SGOV is around 3.85% right now? Plus, no state tax on dividends for most states. HYSA still gets taxed on on gains. Dude knows not to time the marjet but still tries to time the market lolol.

brianborchers

Do you live in a state with income tax? If so, you might consider moving your long term emergency fund from a HYSA to a short term treasury fund like SGOV. This should get about the same interest rate without the state income tax.

Fantastic-Ice-1402

How about SGOV instead for your savings? There was a huge correction as recently as 2022 where SPY lost a lot and took a few years to recover. That could happen again.

Heyhayheigh

Your 401k should be set to lowest internal sp500 fund and move on with your day. You could do the same with normal money too. But by your stock picks you obviously are ok with risk and volatility, so Nasdaq is fine. Everyone could literally run on SGOV for emergency fund and either VOO or QQQM for risk on. But I doubt they wouldn’t panic sell. It’s easier when the money is small. Once the money gets big, the urge to panic sell gets even greater. You will learn. Or you won’t. World moves on.

BillBob13

I don't understand the hate here, the #1 rule in incesting is to not lose money. OP, to answer your question, bonds. An ETF like SGOV. You get ~4% apy as a monthly dividend, you won't beat the market (in terms of historical returns), but you won't lose anything if a 2001 repeat happens

TJMBeav

$SGOV till the reset then do both

Lanaloki

If you don’t think SGOV is better than holding cash, you have no clue what you’re talking about. And you never answered OP’s question.

Low-Win-6691

How? Interest rates will go down and cost of living will go up. SGOV seems like a terrible choice

Lanaloki

If they are holding their cash in SGOV then they are mostly protected from value erosion due to inflation.

MaxPaynesRxDrugPlan

Thanks. I'm a new SGOV investor and was wondering as well.

Encouragedissent

/u/SirGlass covered diversity quite well. If growth is your highest concern then 100% in SPY/VOO is the way to go. If you are trying to increase dividends share at the expense of capital appreciation then you can do something like 2/3 into SPY and 1/3 a broad dividend fund like SPYV or SCHD. If you are merely trying to smooth volitilty/ decrease risk a Bond fund like SGOV can take a portion of your portfolio instead.

dark_volter

Ivy Bank still at 4% today, dec 20, 2025- So i've figured it makes more sense than SGOV etc.,etc

wynveen

SGOV

Cramer4President

But if SGOV crashes, wouldn't that mean apocalypse?

DeeDee_Z

> I never researched enough to find out why. I'll take a guess: 1) SGOV usually pays its div in mid-month. 2) Fund Advisor wants money the fund **earned** in December, to be **paid** in December. Thus 3), the second payment is smaller, "half a month's worth". And maybe 4) the February div will be for 6 weeks rather than 4? Don't know. I don't own this position, but I have another fund that behaves similarly.

AllenSmithee59

In January I opened four self-directed brokerage accounts to earn bonuses the brokerages were offering ($150-$300 each), intending to park the money in SGOV for the 90 days that the brokerages required. Eventually I had $40,000 to $60,000 invested at any one time. That quickly got boring. The money was earning slightly less than it was in a HYSA, so I decided to speculate with some of it to see if I could beat the rate of the HYSA. I poked around the web and on X for information about what stocks to buy, settling on AppLovin (APP), Nvidia (NVDA), Aris Water (ARIS), Robinhood (HOOD), Iren (IREN), Hims & Hers (HIMS) and possibly some others. Since then I've bought and sold all of those stocks many times over, along with dozens of others. I was guided by the following: * Lots of reading about undervalued/underweight stocks. * Focusingon quick-profit/quick turnaround possibilities. (The bulk of my investments is in date-timed IRAs, so I'm well covered with set-and-forget long investments.) * One rule: If the stock lost me 7% or more, I sold it all. If it made 20% or more, I took the profits, usually by selling off stocks that were performing less well. (Looking at you, Amazon.) Today, just about a year later, I'm up $73,755. I intend to keep every penny of it, so I'll probably cash out the self-directed accounts at the end of this year. I'm retired and have other things I'd rather do that don't have me sitting in front of a computer all day.

DirtSubstantial5655

At least now you grow some skin for this game. Don’t forget to set aside some for capital gains tax. Put all your cash into SGOV while you wait for the next “crash”.

Nuvuser2025

I need to dump a lot of SPAXX on someone’s face, as it doesn’t put out like it used to.  Thinking of texting SGOV to see what she’s up to this weekend.

BarefootMarauder

I see record date & ex-date are both the same for SGOV (12/19). So if we buy SGOV today, we'll get the 2nd dividend on 12/24? I already had a position, so I got the div on 12/4, but bought more today after making some small changes in my account.

lupindub

SGOV has a special dividend in December where it will pay out twice - once in mid December and another at the end of the month as usual.

iAtty

SGOV.

Different-Volume-129

I’m selling everything and putting it in SGOV. Time to hang up the hat on options trading

retarded-salami

What has happened to SGOV? I saw it dropped to 100.28 Dividend is today?

Skulldrey

Um why did SGOV just fall off a cliff

dullchristmas

Would initially put it all into short term treasuries (SGOV) then slowly re-allocate to be probably 70% total market ETFs, 10% treasuries for dry powder, then 20% into other things (individual stocks, metals, or bitcoin based on the state of things)

Civil-Ad-3617

80% QQQM, 10% TSLA, 5% AMD, 5% SGOV I love tech and am very optimistic in the future of how tech will change our lives.

ladyeclectic79

Depends on what I’d want to use it for. A home or investment property purchase? SGOV until I find something I want. Long term? VOO and chill.

31513315133151331513

I'm gonna catch hate from the Dave Ramsey set, but IDC: There's good debt, risky debt, and bad debt. Any debt with an after-tax interest rate under the rate you can receive from "safe money" like SGOV is good debt. You're making a profit by holding that money. Any debt at a rate that is higher than "safe money" you really feel certain you can beat with conservative investments is risky debt. You may still lose out on it if you're wrong about the investments. That can happen to any of us. It's riskier than good debt, but not a guaranteed problem. Any debt with a higher interest rate than you can conservatively beat is bad debt. Good debt >> free money. Keep it as long as you can and buy SGOV (or similar) with the amount you need to pay it off. Bonus points if you bought an appreciating asset (like a house) or get to deduct the interest from your income for tax purposes (like a house or a business loan). Risky debt >> Neither a guaranteed loss or a guaranteed gain. I would pay it off. If there's one thing I know it's that a sure bet is a very rare thing. The exception to this is if there was spending that had to be done that makes it worth taking your time. Something like a new roof with no help from insurance. Bad debt >> Kill it ASAP. It's just a hole in your pocket.

Heyhayheigh

He should find a trustworthy pro to talk to. He will panic sell if he invests that kind of money on his own. Open Fidelity account, put it in SGOV. Talk to several trustworthy advisors. Don’t be surprised if he has to move as a good one is hard to find. You don’t realize the real dangers with not working your way up to wealth. Panic selling 1 million dollars in 2022 was a 180k+ mistake. If he has never invested that is what he will do. A pro’s fees is far less than that. He needs guidance if he has 700k of debt and no experience budgeting and investing. He will likely blow through the money without help. Best of luck.

MagicJuggler

Today was good. I sold three silver strangles and CSPs for a small profit, parked in SGOV, and rolled my CSPs for Friday and monday. If silver moons, I reposition into a new strangle. If it crabs or consolidates, I reload some calls or play a wheel. Just waiting to see if Japan crashes the market on Friday or if its already priced in.

_galaga_

I recently switched to SGOV. In the Schwab universe SNSXX is also an option. I was using SWVXX until I realized I was opting into MA taxes for no reason.

IDrinkSulfuricAcid

My moves tomorrow are fullporting SGOV.

Glam34

liquid and safe. even SGOV counts

IDrinkSulfuricAcid

I swear, just let me break even and I’ll fullport SGOV. Even VOO is too risky now

Nuvuser2025

SGOV.

xXGokyXx

Well said. He is investing until death, so a very long time horizon. Staying in SGOV wouldn't be an option; it would be just DCA over a year or two, or a lump sum into the market now. He just wants to avoid the potential AI bubble crash.

Acolyte_of_Swole

Nobody knows the future. People make their best guesses about what stocks *might* do well in the future. Unless they're insider trading, nobody knows anything for sure. So nobody knows in 2026 what investments to buy into or what the market will do. Nobody knows if line go up or line go down. From a value perspective, very few people have enough information to know if every company they've invested in is poised to succeed in the next year, next decade, next hundred years etc. Let alone if it actually will do that. Investing in the total market has historically given the best returns for lowest micro-management. Going into the total market and chilling usually beats trying to time the market. You spend a lot of time looking for the needle when you could just buy the entire haystack. Beyond proverbs like that and looking at the past to *guess* what the future *might* be, nobody knows. The answer is always "nobody knows." How old is your dad? He's probably not wrong that aspects of the market are crazy overvalued. What's his time scale like for his money? How soon does he need it back? If his investment doesn't show substantial profit in 20 years, will he be ok with that? I mean, let's say he's investing the money for future generations (like you) to use. In which case, the total market should return substantially more than staying in SGOV. But if he actually wants to access his money soon then he probably wants it in a more liquid form. I'm just some reddit person, and I don't know the future.

Heyhayheigh

I’m not mad at QQQM, I do that personally. You pay for the leverage. But I get the people who do that. Auto QQQM and even auto some stocks I personally like is fine. I never panic sell. So I have no worries. SGOV for emergency fund. Set to auto. Move on with my day.

Horror-Appeal-190

Seriously like take 75% and just get Spy and SGOV or something.

xXGokyXx

I didn't say he'd been in SGOV for years, I said he was in SGOV currently. It is from selling some private equity this year. I see now that my write-up seemed a bit noobish- and I wish I had focused more on my thought process behind the question. I wanted people to comment on the last two paragraphs, but everyone thus far has clearly only focused on the first half. And I don't take it as an insult, contrary to the other commentator who said what you said, but not so nicely.

Heyhayheigh

If someone had been in SGOV for years and goes HAM on VOO for millions, he will totally panic sell. Find a trusted pro. You’re not equipped to guide him through volatility. This is no insult. It is very hard to guide people through investing. And it gets much harder as the money is bigger. It’s easier to buy 1000 of VOO month, set to auto. It’s much harder as the money is huge.

MaybeTheDoctor

How old is he, and when will he retire? I would say risking the market if retirement is in the next 5 years, and he may be better off in SGOV or bonds.

Tojuro

Same. I'm SGOV chips right now, just waiting for a big dip.

Shadowrunner138

Why work you life away for a house only to take a risk with the profit at all? SGOV or treasuries, higher yield than a HYSA, almost state tax free, about as low risk as it gets without just leaving it where it is.

PalpitationSmooth992

even SGOV is up 0 percent

No-Departure-5121

SGOV

BIGPOTHEAD

SGOV for the win

timtam_z28

Moderate risk to me would be like 80-90% SGOV, 10-20% VOO. Maybe even a little BTC, because I personally wouldn't put all that equity into a new home, but depends on your plans in 1-2yrs. Low risk to me would be 100% SGOV. I wouldn't keep it all in HYSA, that sum is over the limit of FDIC protection and there's tax benefits to SGOV.

SnS2500

Yes, you should pay estimated on the gain by April 15, 2026. You still can keep it in SGOV or any high yield account for a few months though. You also can potentially tax lost harvest before April 15, 2026, and potentially make a smaller estimated payment.