I bonds

By Terry Savage on November 04, 2023 | Chicken Money

I heard you on WGN concerning this topic yesterday. However is the rate on bonds purchased prior to Oct 2022 reduced because of the ‘ no floor rate’? Should I sell all my bonds purchased over the past couple years and move the $s into treasuries? TIA

Terry Says

Read this: https://www.terrysavage.com/i-bond-rate-update-and-some-advice/

I just posted it to answer all these questions. It’s a tough call. You get a higher rate on T-bills now — but that could change in 6 months. But in 6 months, the next I-bond rate could be lower too, reflecting lower inflation expectations.

but if you plan to hold I-bonds, note that you will get the new higher floor in the newer I-bonds, and that might be worth a trade as you break even in 9 months!



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