First, yes, I know that CDs and money market funds are very different and, yes, I know CDs are truly safe (FDIC-insured) while money markets are not. That said, money markets are about as safe as you can get outside of something FDIC insured.
The short term CDs I've seen are only 1.51% and the Schwab money market fund in my account is only 1.41% without waivers. That's significantly below inflation. Are there any comparable instruments that would at least keep up with inflation?
Note: I have the vast majority of my funds in equities. This is just for our emergency fund (6x monthly expenses) so I can't risk it dropping too much in value if there was a significant market correction.
Submitted January 19, 2020 at 09:13PM by visiting-china https://ift.tt/2v5ld4V
