:swea

  • BigLadKarlLiebknecht [he/him, comrade/them]
    ·
    3 years ago

    Naturally I am not a financial advisor and this is not advice - and bear in mind I am very good at losing money, but….Generally bonds are shitting the bed right now - the bond market is performing at its worst in 40 years. There’s not really any safe haven assets, everything is down.

    If you have savings beyond an emergency fund, and don’t mind sitting on the money for a year Series I Savings Bonds might the best of a bad bunch of options. They track inflation, and the restrictions on them post-12 months of holding aren’t too bad:

    I bonds earn interest for 30 years unless you cash them first. You can cash them after one year. But if you cash them before five years, you lose the previous three months of interest. (For example, if you cash an I bond after 18 months, you get the first 15 months of interest.

    I’m trying to gradually ladder my emergency fund into them, unless I have to draw it down this year (which honestly looks likely).

    I’m bracing, for a long, grinding bear market with stagnant growth after that. I can’t see how a positive picture for the economy will emerge in the coming couple of years.