SGOV
iShares® 0-3 Month Treasury Bond ETF
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SGOV and TBIL, are there safe to invest as an alternative to Savings Accounts to preserve cash value and earn interest?
Offsetting Previous Losses While Continuing to Invest for the Future
Should I invest in treasury funds if no state income tax?
If I'm bullish on the future what's the point in holding VOO? Shouldn't I just get TQQQ and hold long term?
SGOV a good place to hold cash for liquidity?
Are SGOV or USFR still viable short term investing options for growing down payment?
Why do SGOV charts look like this and could the pattern be exploited?
Why does the graph of some bonds look like a sawtooth wave while others don't?
Treasury bills Vs. Money market Vs. CD’s Vs. SGOV Vs. HYSA Vs. Other alternatives. What’s the best way to park my short term cash?
Is it wise to use SGOV almost like a savings account?
SPX Gain. $SGOV & Rest time. Not trying to get caught in a technical bounce.
How to use T Bill ETFs as cash alternative inflation hedges? (SGOV, TFLO, USFR, etc.)
Taking a break from degening. Small PP gain. Hiding in $SGOV for the next 6 months until I can get my head back in the game
Why are the yields of NY muni money market funds so volatile?
What prevents dividend arbitrage with MFs like VMFXX?
Am I losing money to taxes in HYSA instead of treasury ETF/fund?
Beating directly holding S&P 500 by selling deep ITM puts?
Help me find a high yield ETF that I can sell/buy quickly
Parking Cash (Money Markets, Treasury Bills, Bond Funds, ETFs, etc.)
I'm going to break even soon, should i sell part of VTI and put it into SGOV?
Can someone explain the price move of short-term bond ETFs?
I am new to recurring investments. If I want to buy SGOV, does it matter what date I do it on?
Can buying/selling SGOV and USFR trigger a wash sale?
How do I find out the yield on $SGOV?
Options + Bonds ; brilliant original idea, or... boondoggle from hell?
Best Investment Without Actually Buying Treasuries? Am I wrong?
Are there any downsides to my plan to try to turn SGOV dividends into capital gains?
How will floating-rate treasury funds (USFR, TFLO) fare when interest rates start to fall?
Is there a way to make 4-5% with minimal risk without receiving dividends/interest? "Accumulating" SGOV?
If someone wants no regular pay outs but wants to avoid getting screwed by inflation with minimal risk, what do they do?
What is safer now for cash? Keep in Bank account (less than $250K) or T-Bills / SGOV / BIL?
How do fixed income instruments behave in case of a government shutdown?
Can someone help me understand the pros/cons of a bond ETF like SGOV in comparison to buying a treasury directly?
SGOV not reinvesting interest at a good price... Am I missing out on returns?
Are returns from treasury ETFs like SGOV and USFR state tax exempt just like regular treasuries ?
Let's talk about short-term debt securities...
What are some safe overnight bonds / ETFs that I can exit any day easily?
What are the different options for taking advantage of high interest rates?
I want a T-Bill. Are $VUSSX and $SGOV better options?
Table of Money Market Funds/ETF's or Ultra Short Term Funds/ETF's available on Merrill Edge
State Tax Exemptions on US Government Interest for Tax Return
Government Bond ETF - Taxes on Distributions?
T-bills: 3.29% apr for 3 month & is going up with rate hikes
Better Option than SGOV for collecting yield on leftover brokerage funds with near 0 rate risk?
Mentions
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.
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.
My moves tomorrow are fullporting SGOV.
liquid and safe. even SGOV counts
I swear, just let me break even and I’ll fullport SGOV. Even VOO is too risky now
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.
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.
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.
Seriously like take 75% and just get Spy and SGOV or something.
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.
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.
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.
Same. I'm SGOV chips right now, just waiting for a big dip.
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.
even SGOV is up 0 percent
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.
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.
It would be nuts to sell now and set fire to $12k for no reason. Sell next year. If the market tanks next year, you may avoid most of your tax liability. \> didn't really want a large tax bill looming over my head Just take the $12,000 and put it in SGOV in January for the next 15 months, get interest on the money, then pay the taxes in 2027. (You could even pay the full $12,000 in estimated taxes in January if your brain needs that. If you did that, you still might get some of it back if the market tanks in 2026. )
Equal parts SGOV, MMAX, MAXJ, SMAX and DMAX
For such a short term i would be risky to do equities. Do SGOV, its like an hysa but with tax advantages.
Thinking of shifting completely out of SPAXX to SGOV. I live in a no tax state, so the benefits would mainly be to lose less yield to internal fund fees. Sound like a plan, cash gang?
I think I'd just go with SGOV and set it and forget it. Even if you were able to get something that was 1% higher than SGOV, that's only $200/yr or $8.33/mo on $20k.
I see. Yeah, SGOV is 4.4% YTD return and I don't know of a HYSA that's over 4.5% APY without some sort of temporary bonus. I've only seen JAAA suggested in other posts about SGOV. RN I only have under $20k in SGOV, so not enough to make a huge difference in return, and Im slowly teaching myself and asking kind folks like yourself about my options. I just need a reliable return for whatever cash I have saved
I think there won't be much difference between the HYSAs and the short-term treasury ETFs in 2026 compared to 2025, because basically they compete with each other, so when the ETF yields fall, the HYSAs don't have to offer as much. You might be able to eke out a few basis points more in some HYSAs if you can find them. Someone asked last week about JAAA and JBBB I think, I don't know if it was you, but if you look at older posts here or in r/Dividends you might find it and some opinions on them. I looked at JAAA and JAAB and they have higher yields but they are invested in corporate CLOs, so they're not going to be quite as safe. JAAA's NAV has been declining also. It was $51.04 on the last day of Jan and $50.73 on the last day of Nov. 31 cents doesn't sound like much, but that's 0.61%. It also took a (temporary) dive on Liberation Day, while SGOV didn't bat an eye.
I'm projecting onto OP, but I would also like to know if SGOV is a good "HYSA alternative" for 2026, or if JAAA or something else functions better? I wasn't going to chase APYs, so I switched to SGOV. I should have a 401k or more diverse investment portfolio, but work has been sporadic the last few years. I'm just trying make cash I have do some work too.
If I had to guess AI just looked at SGOV rates dropping as the Federal Reserve dropped rates from 5.5% to 3.75% over the last year and just assumed rates are going to keep dropping at the same rate from last June of 24 into the future or something
The curve is steepening because the Fed said they were going to be buying the short end. You can expect that to keep the yield on short term treasury ETFs like SGOV from going up if/when the 10 year goes up. And they'll probably continue to go down. I don't know about those AI projections though. On the other hand, SGOV monthly div has dropped from $0.41516 to $0.31291 in the last year, that's a 25% drop.
Use a broker like Fidelity that supports fractionals and auto buys. Set a weekly amount. Only sell when you have something urgent to pay for. You will be much richer. Have multiple stocks if you like. Switch the auto from one to another if you want. You will eventually realize that QQQM or VOO auto weekly is just easier. SGOV whatever emergency fund or large expense known bills coming up. Life is just easier. If you make a ton of money, just find a trustworthy pro to hire. It’s likely not worth your time to focus on it.
Saving on the NY state tax is nice, but you could just buy BOXX and not pay any tax. They’ve managed to avoid paying out distributions all but one month in their history. And it’s “yield” will be comparable to SGOV. I have used JAAA for cash I wouldn’t touch for 6-12 months. You could honestly use it for an emergency fund too, as long as you have probably 20% more than you think you’ll really need in that fund
Bond yields corrolate to bond demand and supply, that's it. SGOV is comprised entirely of 3 month treasury bonds.
SGOV is sensitive to ultra short duration interest rates. Also - because it is an ETF - there is a premium/discount to the fund and a spread. While the likelihood that these factors impact SGOV is negligable over time, for 2 days while it's unlikely to lose value - it likelihood is non-zero.
Noob here. How liquid is SGOV if I wanna use it as a HYSA? Can I buy SGOV today and sell it in two days without any losses? I believe the interest accrues daily so if I sold it I’d just make a few cents right? Or do I need to time the sale of SGOV to make sure I don’t lose money?
I agree. The S&P is a better option for me but it seems if you’re more worried about assured profit then maybe go with SGOV. You know it’ll be there 9 months later. But at that point what do you do? Take $20k out? Or keep buying more?
If you need the $20k back in a 9-month timeline, I’d stay in cash-plus. SGOV is the simplest option. If you’re open to a bit more yield without going full risk-on, NEOS - CSHI adds an S&P option overlay on top of short-term Treasuries to squeeze out extra income. If you’re feeling more aggressive, NEOS - HYBI offers higher yield but has some credit risk.
If I absolutely needed it short term I’d stick it in SGOV, or similar. A MMF works too. That’s where most of my uninvested cash is. The smartest thing to do though is wait until that “unrealized gain/loss” field has big red numbers then panic sell. It’ll save you a little bit come tax season.
Park it in SGOV if you want it to never be down at the end of the 9 months. Earn a couple percentage points, cash out anytime you need to. If you want more risk/reward park it in the s&p 500 or equivalent mutual fund. Usually has higher returns over time, even if that time is broken up into 9 month periods. But if you're unlucky and need the cash for the business during a downturn (like April this year) it might have actually gone down instead of up.
|Ticker|Industry|Allocation| |:-|:-|:-| |ACGL|Specialty Insurance|25.25%| |DR (TSE)|Medical Services|15.00%| |MOH|Health Insurance|15.00%| |WISE (LSE)|Money Transfer|13.75%| |QFIN|Consumer Lending|10.00%| |SGOV|Short-Term Treasuries|9.00%| |CROX|World Class High Quality Footwaer|6.00%| |JD|Ecommerce Retail|3.00%| |THX|Gold Miner|3.00%|
VTI, VXUS, and a minor stake in SGOV. Feed these three (45, 45, 10) and don’t mess with options until you get bonus money you can afford to lose. Eventually branch out into single stocks when you have a good nest egg
FYI - yields are expressed as annualized. So - it's 3.6% per year - not per month. As for why it's no use for me - it's because I can generate a higher yield on cash using investments with similar risk profile. Also - my own personal financial situation allows me to ladder fixed income maturity along the yield curve. And I adjust the credit risk and interest rate risk based on my own personal risk tolerance and future expectations of the interest rate markets. These are more complicated cash management concepts which may not be worth the effort for everyone - but it works for me. Lastly - I am an active trader - so having my cash in a brokerage account allows me to use certain types of leveraged strategies. That said - for a non-trader - the benefit of using a brokerage account is access to a broad range of low risk fixed income products. For example - for an investor that lives in a state with income tax - interest from a HYSA is a state taxable income. But if the cash was invested in ultra-short duration treasuries, government money market funds, or government ETFs, the interest from those funds are state tax exempt. This provides a much higher post-tax yield. A simple example is having a Fidelity brokerage account. Fidelity has a feature where cash which is not invested is automatically swept into a money market fund - the money market fund currently has a yield of 3.62% and the interest is state tax exempt. Many investors may also simply park their cash into government funds like SGOV which currently has a yield of about 3.7% which is also state tax exempt. For high-income earners in high tax brackets - the investor can use state muni funds which may be both Federal and State tax exempt. This may provide a much higher yield than a HYSA, Lastly - interest rates change. And a bank can change the interest provided in an HYSA at any time. For example -you mentioned 3.6% - HYSA's were offering more than 4% in the recent past. If cash was in a brokerage account - an investor isn't locked into a specific bank savings account product. An investor can simply more the cash into a different fixed income investment easily. That doesn't mean that having a HYSA or bank savings account is useless. It has it's benefits. But it's tied to the services and features of the bank or credit union that is offering the account. A HYSA and brokerage account can generate interest on cash. But as financial products - they serve very different requirements. There are also very different regulatory and safety nets between banks and brokerages. That topic may be too complicated if you are inexperienced, but you can find a lot on this subreddit about disucssions about how safe it is to hold assets in a bank vs brokerage. There is a lot of misunderstandings about how it works - but there are legit differences.
SGOV is solid but honestly for an emergency fund you want liquidity over yield. The extra 1-2% you might squeeze out isn't worth having your safety net tied up when you actually need it fast
SGOV +15% over 5 years Cost of living +100% over 5 years
Rate my portfolio Hello, I'm not some stock expert like you guys but make decent money and been investing awhile... Rate my holdings, or tell me what you would change! I probably won't listen, but I'll take it into consideration. Total Portfolio: $771K~ (all approx. numbers) VOO: $455K VYM: $109K SGOV: $98K (Slowly shifting to stocks, DCA) NEE: $24K LMT: $23K PYPL: 21K TGT: 21K UPS: 20K ADBE: 20K
rate cuts bringing cash yield down to 3.5 im slowly moving my SGOV into JAAA and so are the big bois check after hours 5 mil volume today alone been getting bought every single day in the AH div stocks will continue to pump as smart money positions into high yield assets while growth bleeds the rest of the year calls on div stocks are free money right now
VOO for investing. Buy weekly and auto. As much as you can. Sell only when you have an urgent expense to pay for. SGOV (tbill etf) for emergency fund and short term known large expenses. That’s basically all you need. Tbill and aggressive don’t belong in the same sentence. They are opposites. Money is about when you will spend. Long term: VOO. Short term: SGOV. You’ll will learn along the way. But those are the basics. Auto invest, don’t panic sell. The rest comes with time. Best of luck.
Because it’s 12% effective dividend vs a lot less. Also I am from Europe so can’t buy SGOV
Without putting in any work here, it sounds like a terrible idea. Why not buy SGOV instead?
Just a small tip (in case you didn't know), you don't need to keep it as cash. You can buy something like SGOV in the meantime.
9 months is a pretty short time frame. Wouldn’t recommend you put that into stocks. If you wanted slightly more risk and return than a HYSA you could go with SGOV. Or you could put a fraction of the money into the stock market according to your risk appetite.
Fighting the urge to abandon SGOV and be 100% stocks
Nothing wrong with this so long as you have your emergency funds in safe investments. I use my brokerage account as my savings account and keep 6 months of living expenses between money market positions and SGOV. The rest I throw in stocks and ETFs. It certainly beats the shit interest rates my bank was paying.
Personally, I don't think there's anything to worry about and think the market will be fine for at least another year. If you're afraid, you can just add more bonds/SGOV to your portfolio to have some money in case of a bear market.
Today I am going YOLO on SGOV. Nothing will stop me lol.
I stated that I am EU based and SGOV isn't available for me.
I'm in USA so our money market funds are all around 4%. SGOV if you can buy it where you are
I would say just re-DCA. Would be no different if you found yourself with a windfall and unvested at all time highs. If it helps OP sleep at night, so be it. Put it in SGOV for an ease 3ish percent and sped a year re entering. Personally, I’m happy with the old 200DMA OR 10month mov avg as my sl. FinancialWisdom has shown numerous backtests that make me feel comfortable enough limiting my manual management to that.
Trying to time the market is dumb. Using historical evidence, the market is more likely to go up tomorrow rather than down. Consider rebalancing (pulling a portion out to cash, and into something like SGOV), but I wouldn’t completely exit.
Yep. Cash and things like SGOV.
SGOV is at 3.85% last I checked
I mean, if OP does 100% SGOV... okay... good luck with that. If that nut is $10mil, it'll work out for you...
Forgot about 1k SGOV in my Roth the whole year, I'm never gonna recover from this
Not. $SGOV is your, specific, best bet
lol. For normal investors the smartest strategies are dollar cost averaging and time in the market. You can even look at historical data and analyze what your gains would have been. It’s also ok to set aside some cash for dips. Obviously if you need the money soon then don’t put it into the market, unless it’s something like SGOV. Otherwise just keep investing and growing your wealth. My anecdotal story is during the April dip I kept buying in all my accounts despite all the doom and gloom. Fast forward to now I’ve made really good returns and honestly I wish I had the money to have invested more. Even though I find the saying “VOO/VTI and chill” annoying, it’s not that bad of a strategy if you’re an average investor and want peace of mind.
SGOV is 4.15% good spot for cash while waiting.
Rotating to defensive sectors maybe go 10% cash equivalents like SGOV where you at least generate interest. 100% cash is just dumb.
I definitely think this will be a sell the news event, unless Powell comes across as exceptionally dovish, which I doubt he will. The market's addiction to cheap liquidity is getting alarming too. Most other OECD countries are looking at raising rates, which inhibits their ability to invest in US stocks (carry-trade stuff). The Shiller PE, trailing PE, and forward PE of the S&P500 are at highs they've only seen before major crashes. [https://www.multpl.com/s-p-500-pe-ratio](https://www.multpl.com/s-p-500-pe-ratio) [https://www.multpl.com/shiller-pe](https://www.multpl.com/shiller-pe) [https://en.macromicro.me/series/20052/sp500-forward-pe-ratio](https://en.macromicro.me/series/20052/sp500-forward-pe-ratio) At the very least, the safety of SGOV's 4% looks more appealing to me right now than the risk of the market.
You’re going to have to figure out when to re-renter the market. I would buy at least SGOV or ICSH and VTV for now instead of just sitting on it.
Debbie Dingle is retiring… If anything, this is an indicator of what boomers are going to start doing en mass and buying SGOV or similar.
Deposit all of your monthly $1,500-$2,000 into your high-yield savings account to quickly build your first safety cushion, and invest 50% of that in ultra-short-term Treasury bond ETFs like SGOV.
A diversified index fund like VT would get you equities. If you are more risk averse, you could throw in some SGOV/BND for a typically less volatile bond holding. Pick whatever ratio you feel you could stick with should the equities decline significantly for a period of time.
Currently doing this. Funds set aside for assignment are in SGOV. Where is your capital parked?
I don't like to extend myself via margin in this way. My alternatives: 1. In the taxable account, I am able to take the value of the CSP and put it in TBIL/SGOV. I feel this is much less risk. My broker let's me do this without charging margin interest--I think they all do? 2. If I don't have the cash for a cash secured put, then I start looking at cheap puts to sell a spread and reduce my buying power requirements. I don't like the high risk of using the margin to double my size, particularly with a short put because of the way the price action drops the the position value when you're planning to get assigned. The other thing you should consider is the obvious "what if the mag 7 drop significantly" when you gave already "doubled down" on picking up shares. Lately I have shifted to a whole different strategy. We'll call it "reinventing the wheel" lol. But seriously rather than just short the put I have been buying a put debit spread, aiming for 60-90 DTE. This way, when there's a pull back, I'm actually profiting. It also keeps a position open for me to view/track so I'm watching my target. Then if I do get a pull back, I can decide if I think it's gonna get worse and pass on the entry, or decide to close my spread early for a profit and buy shares on the dip. Whereas, when I was wheeling with the traditional short put, if I got a price pull back on something I wanted to own, the short put would often actually be costing me money to close early. If I'm trying to get shares at a discount and I want to get paid to wait, but I want the flexibility to close early and buy shares, then the debit put spread seems the better fit. So there you have some extra rambling that you didn't ask for, free of charge!
That's a great, mostly safe way to squeeze extra money out of your account. The best part is that you're using the margin without actually paying any interest. Just be careful, don't be too aggressive. Be ready to buy back the put before expiration, and move it forward to a later date. As long as you didn't use too much margin, you can push contracts out indefinitely. There will always be *some* premium (even if shares crash and it's very little). Even in a really bad market you should be able to pull through without actually paying any interest on borrowed shares. Be aware that sometimes if the put you sold becomes difficult to trade, the owner can assign you the shares *at any time*! That means you must be checking the account every day, especially near the end of close, watching out for assignments. They are rare (until they happen to you!) I use a similar technique: I am DCA'ing into the market slowly, I hold SGOV (earning ~4% for now), and if/when any contracts go against me I can choose to buy the shares or push the contracts out to a later date.
You have it backwards. Your riskier plays should be in your Roth. Your brokerage can be all SGOV and QQQM or VT if you prefer.
If you want to Buy and Hold then CC work fine. But most of you 100k will be tied up in stocks. If they go up you are a genius , if not ... Csp are the worst. You have to put up the entire price of the stock, some brokers let you earn interest, some do not. My answer is always the same, get a Margin Account (Schwab , Tasty, IB platform not for me) , you are pissing away your leverage in a Cash Account. If you have the money (25k but 60k better) to trade options (90% of those responding only have 10k or less). You must get approved for Selling Options, this can be hard at many brokers. Tasty is the only one that gives it to everyone. If you Sell a Put without being approved, then it is a CSP, and none of this applies. You can Sell Puts , Calls or Both on Amzn, Appl,Googl, Bidu, Nvda, for 2k-4k Buying Power. If you get Assigned take the loss close out the stock and move on, or ROLL Forward in Time for a CREDIT. Also you can BUY SGOV , get 70% Buying Power on that and interest every month. If you can afford to tie up part of that SGOV cash for 3 months at a time you can get over 99% Face with Treasuries. Selling Treasuries before maturity could cost you a "haircut" , Sgov does not suffer from that. Key:: Always keep 100% of the BP as backup for a Down Move, so if the BP is 10k, keep another 10k as backup. Follow Tasty mechanics , Sell at 45dte, close or roll by 21dte, have a profit target in 50% area. Do not Sell 40 Delta Puts... I rarely do over 20delta, 30delta is ok but you will get tested often. How can this be , everybody on Reddit is wheeling! Try these Tasty vids to see what most Reddit users do not know or worse understand. [https://ontt.tv/3jAf4Ba](https://ontt.tv/3jAf4Ba) Buying Power Factors Oct 28, 2020 [https://www.tastylive.com/shows/tasty-extras/episodes/a-refresher-on-bpr-06-29-2020](https://www.tastylive.com/shows/tasty-extras/episodes/a-refresher-on-bpr-06-29-2020) [https://ontt.tv/2CLbOjn](https://ontt.tv/2CLbOjn) What Affects Buying Power? Nov 14, 2019 [https://ontt.tv/JeGVN](https://ontt.tv/JeGVN) Short Puts vs Covered Calls vs Poor Mans Covered Call Jul 9,2024
No problem and happy to help others avoid my experiment's "surprise". Plus with the yield curve negative, it's back to SGOV.
You can do better than a flexible account at 3.23%, and besides as the interest rates are continuing to drop. If you have a brokerage account, consider FDLXX or SGOV. They offer better rates than most HYSA and the dividends are tax exempt on a state level. If you want ever higher dividends, ultrashort bond funds like JPST or ICSH are very stable, but they do fluctuate a little and they have no tax exemption. Depending on your risk tolerance you could consider some equity based ETFs, but remember that stocks are not a safe replacement for savings, and ideally you should have 6 months savings with high interest credit paid off before considering investing in a brokerage account.
Fidelity let's you open multiple cash management accounts. So I have one that's for "2026 vacation fund" and another that's for general spending, keeping them separate from the long term investment account. Both are earning interest at 3.6%, but could also buy SGOV or whatever in the CMAs if I wanted to make things slightly more complicated to manage.
interesting, thanks so much for this. Will probably go SGOV until VBIL becomes a little more established
You are confused. If you are not approved for Selling Options (you do not say). then even though the account is margin selling a Naked Put must be a CSP. If you are approved for Selling Options, then I am pretty sure it will use buying power (about 8k-10k for a 25 delta), but I have heard Fidelity has a way for you to force it to be a Csp. Anyhow you a throwing away your leverage , and interest. Selling using Buying Power is what you should be doing. The t-bills and Sgov pay interest and can be turned into cash pretty much as soon as sold (Schwab, IB, Tasty). t-bills get 98% face BP, Sgov 70% Bp (sometime 75%). There is no risk. Here was my standard reply. My answer is always the same, get a Margin Account (Schwab , Tasty, IB platform not for me) , you are pissing away your leverage in a Cash Account. If you have the money (25k but 60k better) to trade options (90% of those responding only have 10k or less). You must get approved for Selling Options, this can be hard at many brokers. Tasty is the only one that gives it to everyone. If you Sell a Put without being approved, then it is a CSP, and none of this applies. You can Sell Puts , Calls or Both on Amzn, Appl,Googl, Bidu, Nvda, for 2k-4k Buying Power. If you get Assigned take the loss close out the stock and move on, or ROLL Forward in Time for a CREDIT. Also you can BUY SGOV , get 70% Buying Power on that and interest every month. If you can afford to tie up part of that SGOV cash for 3 months at a time you can get over 98% Face with Treasuries. Selling Treasuries before maturity could cost you a "haircut" , Sgov does not suffer from that. Key:: Always keep 100% of the BP as backup for a Down Move, so if the BP is 10k, keep another 10k as backup. Follow Tasty mechanics , Sell at 45dte, close or roll by 21dte, have a profit target in 50% area. Do not Sell 40 Delta Puts... I rarely do over 20delta, 30delta is ok but you will get tested often. How can this be , everybody on Reddit is wheeling! Try these Tasty vids to see what most Reddit users do not know or worse understand. [https://ontt.tv/3jAf4Ba](https://ontt.tv/3jAf4Ba) Buying Power Factors Oct 28, 2020 [https://www.tastylive.com/shows/tasty-extras/episodes/a-refresher-on-bpr-06-29-2020](https://www.tastylive.com/shows/tasty-extras/episodes/a-refresher-on-bpr-06-29-2020) [https://ontt.tv/2CLbOjn](https://ontt.tv/2CLbOjn) What Affects Buying Power? Nov 14, 2019 [https://ontt.tv/JeGVN](https://ontt.tv/JeGVN) Short Puts vs Covered Calls vs Poor Mans Covered Call Jul 9,2024
I tried an experiment for the last two months of SGOV vs VBIL. I decide to try VBIL and moved 1/3 of my SGOV holding to VBIL. I have now waited for two complete months of dividends and below is dividend payout summary from my account this month. The first column is dist-yield and the second column is SEC-yield. SGOV 12/1/25 (payout 12/4) 4.15% 3.85% VBIL 12/1/25 (payout 12/3) 2.81% 3.89% Since the dist-yield is what is deposited to my account each month, between the two, I'd prefer SGOV. The surprise is the that SEC-yield is actually higher on VBIL... YMMV.
21% but that is accounting for the 25% I have had sitting in SGOV type things so about 30% for the actual stocks. I don’t do much swing / day trading. 80% of my portfolio is long term hold. I play with about 20% doing swing trading at dips with leveraged products or momentum stocks.
I’d honestly just do a mix of index funds rather than the individual picks. SGOV is a good safe haven for cash.
https://marketchameleon.com/Overview/SGOV/Dividends/
i need to invest $30k for 6 months, after which i'll need the full $30k back in cash. would buying $30K of SGOV be good? it seems like it would be slightly better returns plus better tax benefits from a HYSA, is that correct?
Might as well keep it in the brokerage settlement fund for a slightly higher return than savings accounts (I have no state tax so it’s easier than SGOV)
Selling puts is a bullish strategy. If market tanks you get hit just like buy and hold. What you are looking for is a strategy that makes more than SGOV while minimizing the risks. Those low drawdown strategies that perform better than SGOV.
I mean, I kept the cash in SGOV and just sold puts on margin. If I was going to be assigned I can just sell the SGOV shares for the cash. But yeah. Nothing wrong with it in SGOV