SGOV

DJ_Mimosa

This is a very valid indicator. It’s only been higher than 30 for 4.5% of trading days in the last 30 years. You can apply roughly the same concept to the forward PE right now as well. Not a bad time to liquidate longs and move them into SGOV, and apply neutral to slightly bearish options strategies.

meshreplacer

Serious question you had plenty of capital to join SPY Thetagang and make a nice income wheeling SPY, collecting premiums, dividends and coupon payments from SGOV etc.. What exactly were you trying to accomplish? Was this some kind of inheritance you just decided to gamble since it was not money you had to work for?

Straylight__

Make a rule to regularly transfer away funds into another account where it is put into SGOV or SPXM. The trading account will compound slower but it will be safer. I have a two option strategies that make 500-1000% return annually at Full Kelly risk setting. At the begining of the year I allocate 5% of my long term investment account into a specfic account that these strategies manage. Then I reset the account back to starting point after 12 months. So it goes like this: Year 1: $10,000 -> $100,000 ($80,000 transfered out) Year 2: $20,000 -> $200,000 ($170,000 transfered out) Year 3: $40,000 -> $400,000 etc. As you can see, even if I blow up the account I have siphoned off alot of profits, so even if the account where to blow up I did net-net make a shit load of money and can just restart the account again. Good luck you will be back soon! just strictly follow the rules with high discipline next time.

Cracked_Tendies

Good insight. Most won't realize that there's no way to escape investing. You're either investing in SGOV (USD) or something with a risk premium Also, nice job holding that MSTR/BTC pairs trade I closed my MSTR short at the very peak of MSTR price and I still made money lol Was my first time shorting anything and idk if I like the feeling enough to do it again. Completely different vibe than vanilla long investing

FutureCandidate74

Sorry, I misunderstood the source I used to look up the fund. So you're doing ok, but recall this is a big-time bull market. A turn could wipe out your gains in a way a HYSA or SGOV wouldn't.

FutureCandidate74

Not a bad decision, no, but not the best decision. FNLIX is a stock mutual fund. So it's not the safest place for saving for a house. If the market crashes (not saying it will, but sometimes it does), you could be down a big chunk of your savings and have to wait for the market to rebound to recoup your principal. Also, FNLIX seems to have a low annual yield. You can do much better. House-saving money and the like should go into either a High Yield Savings Account (HYSA) (which Fidelity doesn't offer) or a bond fund like SGOV (which you should be able to buy through Fidelity).

No-Improvement3164

It’s like SGOV but you can sell cash secured puts while you’re collecting interest. SGOV doesn’t allow this.

MutaliskGluon

It was more than a roller coaster haha. I was like pure SGOV + the EOSE position and while it went down 85% the market went up like 30% or so. It was devastating and made me question my entire strategy, research, and confidence in beating the market. Like, my account went from beating SPY/QQQ by over 2x to underperforming them. Really glad I stuck through it though. (outdated chart, my account is at ATH balance as of today) https://imgur.com/a/nMN6ek8

Heyhayheigh

Yup, I understood completely. Sometimes people want to know "the little bit more risk option", which is rather silly. Sounds like that is not you, cool. I basically just do SGOV and dont overthink. Though some brokers have a convenient money market that works well with them SPAXX with Fidelity for example, which is treated as cash. SGOV will be slightly more, but it takes effort. SPAXX takes zero effort, that has a value to it too. Hope that helps :)

MutaliskGluon

Gambler? :( Im 40% SQQQ 60% Cash/SGOV. Will be back to 100% cash before EOD i aint holding any of this shit over the weekend

Heyhayheigh

3.9 is fine. It really depends on your broker. Each one has different ones that are slightly more convenient. Use a broker that supports fractionals like Fidelity and do SGOV. It is just easier. If you want a little extra zip for a bit more risk, do your own research. SGOV is basically like rolling tbills. Makes sense if your state has income tax. It’s just an easy no brainer for short term funds. You want real growth make real investments. Best of luck out there.

SirGlass

There really won't be all that much meaningful difference between them, they essentially all hold ultra short term debt so most will pretty much yield the same . The difference maybe one that only holds treasuries what will yield slightly less but be exampt from state taxes, vs ones that may hold corporate debt or repo agreements, will yield slightly more but be subject to state tax Depending on your income and state one may be better then the other. If you are higher income and live in a state with higher state taxes the treasury MM may be better If you live in a state with no state income taxes or very low ones the higher yielding fund that holds corporate debt may be better. Personally I just buy something like VBIL/SGOV what are 0-3 month treasury ETFs that basically acts like a money market fund

SadCockroach3784

"SGOV! My boy! How ya been recently?"

SadCockroach3784

SGOV and chill is looking pretty nice right about now.

MayoFetish

SGOV

2020Macthedog

Yes. A recession is coming. I think it will be severe. I have my own little Hedge account that only trades options. I am in puts. My main liquid wealth (and the majority) is in $SGOV. I am 65 and will not risk my capital in long right now. But I am an aggressive SOB so want to profit. Why I set up my hedge account, which I can be as aggressive with as I desire. FWIW I have been bearish for a long while and my hedge account is still healthy...and now significantly larger. 😁

MCB1317

I'm half SGOV and half CSHI with my "cash" portfolio.

2020Macthedog

Yeah. I will stick with $SGOV as well. And thanks again for the ETF

MutaliskGluon

Today has all the markings of a potential flash crash / circuit breaker. Private credit and loans are fucked. Goldman tried to unload a bunch of 6% Chicago AAA rated bonds at 6%+ and couldn't find buyers. I don't think many grasp the seriousness of the above sentence, but if fucking GS can't get a AAA bond at 6% off it's books Jesus christ. Shitcoin continues to live up to its name. It's really just a levered nasdaq play and it co tinting to drop through supports without even a bounce is ominous for risk assets. People are still super bullish and thinking everything is an overreaction or a sale without understanding why NVDA is dumping off and the extreme parallels to Cisco in summer 2000. Cisco had a great ER, raised guidance, CEO talked about infinite demand and blah blah blah. Then sold off 75% in the next 6 months. Japan is fucked. They arr going to launch a stimulus bazooka and their bond yields are gonna spike even more and the carry trade is gonna get margin called. I'm literally 100% cash/SGOV right now and have decision paralysis because liquidity is so thin right now we could go 4% green today or hit circuit breakers. The ONLY thing that matters today is which way the algos go

2020Macthedog

This second? $SGOV

MCB1317

It dropped 1.7% and had fully recovered within two months. I did see that, but for 30% higher interest rates I'm willing to take the chance of a 1-2% temporary drop during black swan events. The reality is that if you want ZERO risk, there isn't an alternative to SGOV. CSHI I decided was the absolutely lowest risk alternative with a better yield.

MCB1317

You're me 2-3 months ago. And I don't know why people are being so dismissive. I looked at PULS and PAAA, decided that I don't trust Wall Street or Moody's when it comes to any form of collateralized debt, and decided CSHI was the best of the bunch. Its core holdings are short-term securities (identical to SGOV) and then it uses a tiny portion (sub 5%) of the holdings to sell put spreads that are way out of the money. This gooses the yield by 1-1.25% over SGOV. Look at its history. I basically decided it was 99.99% as safe as SGOV but with a yield 30% higher.

an_erotic_walrus

Might be time to take profit and chill in SGOV for a bit, feels a bit gay to be a bear but better than losing money

teckel

Rediculous question, because investing in maybe 3 would be far better. * 5 years SGOV * 10 years VOO * 20 years SPMO

PalpitationSmooth992

you really cant win keeping your money anywhere when they do this gold down oil down stocks down crypto down cash loses to inflation should have known when i saw that 8 mil SGOV buy after hours yesterday

2020Macthedog

If you are trying to win be the first to go all $SGOV.

PM_ME_UR_EYEBALL

Been sitting on $275k of SGOV since August. Come on papi

Ancient-Bat8274

SGOV and gold

2020Macthedog

For a tactical option I sell at a 50% gain. If it is a gamble I dump it around a 20%ish gain. Try like hell to cut losses quick. Especially in an expensive and volatile market like our current market. For shares I buy without trying to time and only sell when I need cash for a big purchase or if I go to the mattresses. FWIW, I went to the mattresses around March when I took control of my port from a buddy (who is retiring from RBC). Sold all my positions and parked in $SGOV

InvisibleEar

Gamblers I've been building the money to put in my Roth in January in SGOV mostly because I felt silly putting it in voo just to sell and buy back months later. Time to buy for a cheeky one month gain?

onemananswerfactory

SLV is volatile, no? Why not SGOV?

jumphh

It sounds like we're more or less on the same page? I've always kept dry powder in SGOV, but I got at least 30 more years of work/income ahead of me, so even in the event of a 20-30% market drawdown, I'll stay afloat. Sounds like you're further along in life though, so it makes sense that you're moreso thinking about preservation than exposure. Good luck out there.

TequilaTrader

On a positive note, SGOV was green again today.

FistEnergy

I put my full port into SGOV two weeks ago. I'm feeling pretty good obviously, but I'm not sure if I want to bet on a major correction or a moderate one. VOO 575 seems like a reasonable place to start.

yaboyalaska

In case anyone was wondering I got a response from TT: "I wanted to reach out regarding some discourse that was brought to our attention regarding your SGOV margin requirements. In a standard Reg T Margin Account SGOV has a 50% initial and 25% maintenance requirement. I took a look at your account and I see the issue that you brought up. When you were holding /MES futures the requirements are swept out from the equity side and held on the futures side because even though you only have one tastytrade account funds are held separately because they essentially clear differently (APEX & StoneX). When the funds were swept out due to your futures position your margin equity dropped below $2k where you lose margin privileges. I see you closed out the futures and you essentially regained margin privileges and your SGOV is being held at a 25% maintenance requirement. I have included some screenshots showing your cap requirement on SGOV and a help center article explaining why your trading accounts are separated. Please let me know if you have any questions! " I didn't even contact them, they took it upon themselves to email me. People will hate but I maintain TT has the best customer service of any broker I've us

Former_Tomato9667

DCA’d my bags a little today but still 78% SGOV. The knives still look very sharp and they’re falling very quickly.

Timmy98789

Over 40% on the year. No worries, you won't get to see that number with just SGOV. 

FaintCommand

If you're going to park a 'substantial amount of money' somewhere you should be able to look this stuff up and know what you're getting into. Else you're probably better off with SGOV or a HYSA instead of chasing a better yield. There's no such thing as risk-free, high return investments. PFRL is probably more risky than HFSI, but it's the type of risk that makes it interesting to me. The majority of their holdings are in senior secured loans from major institutional banks. My biggest concern is a 2008-style collapse and a wave of defaults. But relative to the market at large, it has not experienced wild price fluctuations. The biggest drop in price it has experienced in 3.5 years was Great American Tariff Day. While most of the market plunged, it dropped from about $50 to $46 and was back up within about 2 months. Otherwise it has been very steady - similar to funds like JAAA. The relative stability and utilization of senior-secured loans make it more attractive to me than something like PHYZX. But I am not a financial expert and you should do your own due diligence. I'm just sharing some funds to look into.

Future_Hyena2562

I’d been better off in investing in SGOV all year

Admirable_Hand9758

SGOV is up .55% over the last 5 years.

zandervasko777

SGOV pays a monthly distribution.

zandervasko777

Sell everything and buy SGOV. Don’t say I didn’t warn you all.

zandervasko777

Don’t say I didn’t tell you. Sell it all and buy something like SGOV. No stocks, no gold, no crypto. Just get out and watch the train wreck.

2020Macthedog

I traded thru the GFC. Well aware how it works. I have a list of longs I will buy after. Currently most of my liquid holdings are in $SGOV till that next Haynes bottom!

specter578

Excellent response. THANKS. Do you recommend anything in-between SGOV and IGBH? Perhaps yielding 5% instead of 6%, or with similar yield with less duration risk?

big_deal

What's the spread between SGOV yield and your Tastytrade margin interest? Is it even positive!? I would assume that the cost of leverage is equal to or greater than ~1yr treasury yield.

therealjerseytom

> guaranteed 3-4% annual return FYI even SGOV doesn't guarantee this

ssmosbyy

Margin rates are way higher than what SGOV pays out. You'd be paying like 8-12% to borrow money just to earn 4%. That's just burning cash for no reason.

ConfidenceLife5558

You are looking for something that does not exist. SGOV is not "guaranteed 3-4% return". It yields that much only as long as rates don't get cut (which is happening now). If you want that guaranteed return you need 10y treasuries

le_fuzz

Why would you take on margin to invest in SGOV? There is no way that is profitable.

TomALPHATrades

Be really careful here—you are confusing **Zero Duration** with **Zero Risk**. IGBH isn't a savings account substitute like SGOV; it's a specific bet on credit spreads. While it hedges out the interest rate risk (by shorting Treasuries), it leaves you completely exposed to **Credit Spread Duration**, which is still massive (around 12 years). Here is the problem with using it for "safety": In a recession or market crash, corporate spreads blow out (prices drop) while Treasuries usually rally (yields drop). Because IGBH is *short* Treasuries to hedge, you miss out on that Treasury rally protection. You take the full hit on the corporate bond price drop without the usual flight-to-safety buffer. It effectively behaves like an equity proxy, not cash. If you want a safe place for savings, stick to SGOV or TBIL. Only touch IGBH if you are specifically betting that the economy will remain strong and credit spreads will tighten.

MutaliskGluon

I've been mostly cash (SGOV) since like late 2021. Have had a few big longs that gave me excellent returns though. Was big into energy late 2021 through 2022 and big into eose for 2023 to 2025

MutaliskGluon

My puts that are 0.3% of my port with the other 99 being SGOV or Cash? I will be fine. Also, seige tank rushes are really a thing haha, but I love the reference :

gmenez97

SGOV and VBIL ETFs are short term treasury bond funds that hold their value. Very small changes due to the interest payment. Pull them up on a chart.

Alternative_Rule6208

He sold SGOV to buy leaps. And he's down on those.

2020Macthedog

SGOV settles quickly if that matters to you (it does to me)

First-Finger4664

JAAA maybe - historically it has been pretty safe - but there are some warning signs in private credit (eg the implosion of Tricolor) that would make me hesitant to use it replace SGOV. Maybe a partial allocation? I have also thought about making a small allocation to TLT which might benefit more from deflationary pressure during a recession, but don’t feel like I understand enough about how the long bond market operates to understand wether that upside is worth the added volatility despite similar yield.

zerofrakhere

Real question is how does he losing money on SGOV

Mothy187

Yeah it is. SGOV for the win on this one

TestingLifeThrow1z

You can lose money on SGOV?

konjecture

Yes, you need to keep at least 6 months of your spending and some emergency funds that are readily available in either HYSA or buy SGOV ETFs which will save you on state taxes. After that keep investing whatever you can in the entire US market ETFs and may be the entire foreign market ETFs (so SCHB 80% and SCHF 20%), but make sure to understand that if the market doesn't do well, then you could "lose" a lot of money if not all. Always remember, you haven't made or lost any money unless you sell your shares.

VegasBjorne1

If it’s an emergency fund and relatively small amounts then I just throw it in SGOV. Very low risk, near instant liquidity and not subject to state income taxes.

2020Macthedog

$SGOV shows settled cash in account next day. And I can trade with it day of. Not sure if that is T+1 or better?

boztron

Just bought 500 shares of SPY and 1000 shares of SGOV. Embarrassing.

HulksInvinciblePants

That’s what prime money market funds are. However, yields spreads on corporate bonds aren’t that great. They also aren’t as tax efficient as SGOV. BOXX is an option if you can hold longer than a year and the tax arbitrage is worthwhile.

gmenez97

SGOV and VBIL ETFs don’t lose capital.

pigglesthepup

This really depends on your time horizon for this money. SGOV has already been recommended. Know that it's super short duration (0-3 months), making very similar to a HYSA. You could go for some longer duration but still short-term ETFs: SPTS: Short-term treauries, average duration 2 years BSV: 75% treauries, 25% corporates, avg duration 3 years VTIP: short-term TIPS (inflation-linked Treauries), avg duration 2.5 years If you know both exactly how much you need in the future and when, individual bonds or a CD are fine. I strongly recommend individual investors stick to government (treasury, agency, muni) when buying individual bonds. Anything else requires extra research and the disclosed financials aren't always truthful (see: 2008).

MCB1317

I really don't get "cash gang" mentality. SGOV and CSHI are as safe as it gets.

2020Macthedog

I believe $SGOV settles it a day. Please tell me if I am wrong.. it's why I went into it!

Key_Lifeguard_8659

Cuz you're in SGOV

RandomGamer414

Got it I guess I’ll just stick with SGOV

2020Macthedog

How long is long? If you are talking a few years then go with $SGOV. Longer and I would have to think. I can't believe you are barred from trading? Worst case you call in your orders to Schwab.

2020Macthedog

I would put it in $SGOV till the current dust up settles down

zandervasko777

Nope, but I sold in February and the last of it in October. I’ve been buying SGOV ever since.

zandervasko777

It doesn’t matter what NVDA says. The markets will crash. How do I know? Just look at the insanity all around us. The market is insanely overvalued, we are going to attack both Venezuela and Mexico, 90% of the country can’t buy groceries, Trumpadump is going to be thrown out of office, and AI has begun taking 70% of the jobs. And that’s just in the next few months. Get a clue. Scrounge what you can and but SGOV or some other bond etf and wait out the catastrophe.

RegularHistorical494

SGOV

No-Improvement3164

I can’t sell put with the cash in SGOV like I can with SWVXX. Pretty much same interest rate and I’m collecting premiums on top of it. Yes I agree rates back to 7%. 😂

Me-Regarded

SGOV too. That's where I place cash when not using it. I notice it's not as great as it was months ago. I take it back, raise rates!!!

2020Macthedog

A deep recession and growing cuts in local gov spending with massive federal deficits is a given. When has been the question for two years. So the investment strategy? Use ten percent of your wealth aggressively short via options. Not an easy game for many. Have to be nimble Income producing real estate (I have 30%). If you have solid renters it is a great place to hide Ten percent gold. The rest in $SGOV Have fun trading that hedge option account (I do) and then you just wait. Since no one knows when the correction happens you can also have fun making a list of what to buy when the dust settles. Working on refining my list right now!

zxc123zxc123

I had been using SGOV and BIL (just with ever one let me round out my cash). Then I shifted to using BOXX because it's less work and offered more control on how I realized gains. I've slowly been moving out of the curve with sales of BOXX and going into SHY. For the long end. I have IEF for my tax-exempt and TMF for my taxable.

FaithfulGaurdian

Buying SGOV does give 3.9% and doesn't require paying state income tax, although as an emergency fund it may take more time to settle and use it as cash. There are corporate bonds like PAAA and JAAA which give over 5%, although it requires more risk tolerance. Ideally you might prefer having the ability to quickly use your funds in an emergency without having to worry about any possible depreciation of their value. What I can probably recommend is to look around for the highest yield savings accounts on websites like depositaccounts.com.

Unlikely_Tax_1111

Dude is literally giving the best option at the bottom of his post followed by "what should I do"? If you're unemployed and speculating your savings away after already having made decent profit you're asking for an ass kicking. OP sell your bag, buy SGOV or BILS and collect 3-4% on it while you find a job and work on your career.

blny99

I use XHLF. This fund only charges 3 bps fees, and it holds tbills up to 12 months. When rates are falling due to Fed rate cut, this fund should hold higher rates longer. OTOH if rates are raised by Fed, would take longer to rise since the longer term tbills will keep the blended yield as it had been before. SGOV is an excellent fund if you are looking for something closer to a money market fund, having shorter term tbills than XHLF.

BigWarning8696

Bear markets are tricky because you get the random +5% day and think things are going to V, when they are just a bull trap. I can't see much to trade right now either. Keep in in cash (SGOV) or maybe TLTW while you wait

2020Macthedog

Thank you. Yes, in the US. You are correct about financial advisors. My current liquid positions are conservative. Have built a large cash position sitting in $SGOV. Was in gold via call options till about a month ago. Not sure what I'm looking for TBH. Thought there may be opportunities I am not aware of. I am a savvy investor and took control of my accounts from a FA at the start of the year. I have been taking profits slowly thru the year to take advantage of my low relative tax rate (retired early for reasons) compared to when I was working. So I am being cognizant of tax implications as well. Thanks. And good luck to you

Valkanaa

If you're a US resident SGOV pays 4% and is exempt from state taxes.

AICHEngineer

With ambiguous purchase dates, you could assume larger risk, like a slight equity index allocation, maybe longer duration risk like intermediate treasuries rather than tbills, etc. Either way, the two best looking cash-like risk free rate investments are SGOV/CLIP or BOXX, though BOXX's tax treatment has had the spectre of the SEC looking over it, whether its method of avoiding capital gains distributions to make it more tax efficient for you is legal or not. Thats been murmured about for a couple years. For more risk you can use SHY/IEF for short and intermediate treasury bonds, simple index ETFs for stock exposure, you could expand the exposures to something similar to the "Golden Butterfly Portfolio", which is a variation of the "Permanent Portfolio", which diversifies between short and long duration bonds, stocks, and gold to produce a portfolio with lower-than-market max drawdowns but decent returns to preserve and hopefully increase your purchasing power. Depends how flexible your timelines are.

MCB1317

I'm personally shooting for 25% in Treasury Bonds (via CSHI and SGOV), 25% in ETFs that offer a mix of dividends and growth (DGRO and DIVO), 25% in growth-tech (QQQ), and 25% in high conviction stocks (primarily Google and Amazon at the moment). Good luck.

No-Departure-5121

Well yea by cash I mean 100% SGOV

MutaliskGluon

Feels even better to be 85% SGOV and 15% $550P QQQ :D

Renovatio_Imperii

SGOV stay winning

The-zKR0N0S

I settled on SGOV and don’t remember why. I compared all of the major short term treasury etfs

Zuluinstant

A riskier box spread ETF like BOXX can provide sub 5% returns every year, and it acts like a government bond. He doesnt even have to risk the money given to him if he just parks it on SGOV or BOXX.

BigHatTrader

Yup, either an SPX-based ETF (SPY, VOO, etc) if you want a reasonable chance of 7% per year, or short term treasuries (SGOV) if you absolutely wanted to guarantee having more when you came out than when you went in. Current short term yields are 4% but they may decrease in the coming years. To hedge your bets, you could split them 50/50.

zandervasko777

SGOV. It will allow you to keep up with inflation while your gone. Just reinvest the distributions automatically.

random_agency

SGOV

Electronic-Buyer-468

PULS. It's a bit more diversified than SGOV/MMF and slightly higher yielding. For me it's the best ultrashort bond fund.

Over-Journalist4875

Pick based on state-tax pass-through, liquidity, and settlement needs. FDLXX and SGOV are both mostly state-tax free, but check your 1099's U.S. government interest percentage; repo may not count. I use Schwab's SNSXX, 13-week T-bill auctions, and Gainbridge for fixed-rate annuities - same idea: pick by pass-through and liquidity.

reddit_daily_

Can you elaborate on SGOV?

borkmaster0

Why bother trading when SGOV is easy risk free