6-month Treasury bills?
You said that the 6-month treasury bills are paying 5%. Is that correct? If that is true then if you rolled them over for another 6 months, you would then earn 10%. Am I missing something?
Terry Says
WRONG!! You get 6 months at the current rate. Then when you roll them over, you get whatever is the new rate at that week’s T-bill auction. Read this: https://www.terrysavage.com/t-bills-beat-cds/