On SeekingAlpha.com: Scanning the wasteland of ‘super-safe’ fixed-income investments

Summary

  • The ‘no-risk’ fixed-income market has become a low-yield wasteland, with rates dropping in 2016.
  • I Bonds at least offer a return that is guaranteed to beat inflation.
  • FDIC-insured CDs have appeal because of short terms and promotional rates.

Although I write exclusively about boring, very safe investments like I Bonds and Treasury Inflation-Protected Securities, I don’t advocate putting all your assets into this type of investment. Instead, I recommend making them part of your asset mix.

The problem with this investing style is that the ‘no-risk’ market has become a low-yield wasteland. And in fact, midway through 2016, it’s very difficult to find suitable investments. Here’s a look at the major categories, and their pluses and minuses.

Read my full analysis at SeekingAlpha.Com

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About Tipswatch

Author of Tipswatch.com blog, David Enna is a long-time journalist based in Charlotte, N.C. A past winner of two Society of American Business Editors and Writers awards, he has written on real estate and home finance, and was a founding editor of The Charlotte Observer's website.
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