Four Reasons To Buy T-Bills In The Secondary Market | Is The Secondary Market Better

แชร์
ฝัง
  • เผยแพร่เมื่อ 28 ส.ค. 2024
  • What is the secondary market for Treasury Bills? What are the four primary reasons for buying T-Bills in the secondary market?
    What are some important considerations when doing this? What secondary market fees do the different brokerages charge for Treasuries?
    That's all the great T-Bill secondary market details I'll be covering in today's video - Four Reasons To Buy T-Bills In The Secondary Market | Is The Secondary Market Better!
    What Is A Reopening Auction: www.treasurydi...
    2022 Instructions For Schedule B: www.irs.gov/pu...
    IRS Publication 550: www.irs.gov/pu...
    👉 Subscribe for all things inflation, Treasury bills, I-Bonds, investing & retirement!
    #jenniferlammer #bonds #treasurybills
    -------
    WATCH NEXT
    ⭐ Buying T-Bills For Less In The Secondary Market: • Secondary Market T-Bil...
    ⭐ Top Four Brokers For T-Bills: • Top Four Brokers For T...
    ⭐ My New $60,000 T-Bill Ladder: • My New $60,000 T-Bill ...
    ⭐ Brokered CDs vs T-Bills: • Guaranteed 4% - 4.7% T...
    ⭐ T-Bill Rates, Pricing & Interest | High Rate vs Investment Rate: • T-Bill Rates, Pricing ...
    ⭐ T-Bill Auction Schedule | When You Can Buy New Issue T-Bills: • T-Bill Auction Schedul...
    ⭐ China & The Fed Are Dumping Treasuries - Should You: • Is The US Treasury Mar...
    ⭐ T-Bill Must-Knows: • What Is A Treasury Bil...
    _________
    🎯 GRAB YOUR COMPLIMENTARY FINANCIAL GUIDES & TEMPLATES!
    www.diamondnes...
    ________
    DISCLAIMER
    EVERYONE'S FINANCIAL JOURNEY IS DIFFERENT. YOUR PERSONAL FINANCIAL SITUATION IS UNIQUE. NEITHER DIAMOND NESTEGG, LLC, OUR WEBSITE, OUR TH-cam CHANNEL, OUR OTHER SOCIAL MEDIA CHANNELS, NOR THIS CONTENT & INFORMATION (THE “SERVICE”) ARE INTENDED TO PROVIDE FINANCIAL, LEGAL, TAX OR OTHER ADVICE. NO FINANCIAL DECISIONS SHOULD BE MADE SOLELY BASED ON THE SERVICE. THE SERVICE IS PROVIDED FOR INFORMATIONAL & ENTERTAINMENT PURPOSES ONLY & IS NOT INTENDED TO BE A SUBSTITUTE FOR ADVICE FROM A PROFESSIONAL FINANCIAL ADVISER OR QUALIFIED EXPERT.
    ALL OPINIONS & FORWARD-LOOKING STATEMENTS OF THE SERVICE EXPRESSED HEREIN ARE AS OF THE DATE OF PUBLICATION & SUBJECT TO CHANGE. IT IS YOUR RESPONSIBILITY TO VERIFY ALL INFORMATION YOURSELF.
    ANY INFORMATION PRESENTED BY THE SERVICE IS NOT AN OFFER TO BUY OR SELL, NOR A SOLICITATION TO BUY OR SELL ANY SECURITIES OR PRODUCTS MENTIONED. DIFFERENT INVESTMENTS HAVE VARYING DEGREES OF RISK & THERE IS NO ASSURANCE THAT THEY WILL BE SUITABLE FOR YOUR PORTFOLIO. PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. ALWAYS CONSULT A QUALIFIED FINANCIAL, LEGAL, OR TAX PROFESSIONAL REGARDING YOUR SPECIFIC SITUATION.
    DIAMOND NESTEGG, LLC IS A REGISTERED INVESTMENT ADVISER IN THE STATE OF NEW YORK AND OTHER STATES WHERE IT IS EXCLUDED OR EXEMPTED FROM REGISTRATION REQUIREMENTS. REGISTRATION AS AN INVESTMENT ADVISER DOES NOT CONSTITUTE AN ENDORSEMENT FROM SECURITIES REGULATORS.
    DIAMOND NESTEGG, LLC RECEIVES COMPENSATION FROM TH-cam FOR THE PRESENCE OF ADVERTISING BEFORE, AFTER, AND DURING THIS VIDEO CONTENT AS WELL AS VIA TH-cam’S SUPER THANKS FEATURE. DIAMOND NESTEGG, LLC DOES NOT CONTROL THE CONTENT OR PRESENCE OF ANY ADVERTISEMENTS. THE PRESENCE OF ANY ADVERTISEMENT DOES NOT CONSTITUTE AN ENDORSEMENT OF THE AD, COMPANY, ENTITY, OR PRODUCT BY DIAMOND NESTEGG, LLC.
    ----------
    CONTENT DISCLAIMER
    THE VIEWS & OPINIONS EXPRESSED THROUGH THE SERVICE ARE SOLELY THOSE OF DIAMOND NESTEGG, UNLESS OTHERWISE SPECIFICALLY CITED. MATERIAL PRESENTED IS BELIEVED TO BE FROM RELIABLE SOURCES & NO REPRESENTATIONS ARE MADE BY DIAMOND NESTEGG AS TO OTHER PARTIES' INFORMATIONAL ACCURACY OR COMPLETENESS. ALL INFORMATION OR IDEAS PROVIDED SHOULD BE DISCUSSED IN DETAIL WITH A QUALIFIED ADVISER, TAX OR LEGAL PROFESSIONAL PRIOR TO IMPLEMENTATION.
    OUR TH-cam CHANNEL MAY PROVIDE LINKS TO THIRD-PARTY WEBSITES FOR YOUR CONVENIENCE. WE HAVE NO CONTROL OVER THE ACCURACY OR CONTENT OF THESE LINKS.
    THE COMMENTS ON THIS CHANNEL, AND OUR OTHER SOCIAL MEDIA CHANNELS, ARE THOSE OF THE CREATORS & DO NOT NECESSARILY REFLECT THE VIEWS & OPINIONS HELD BY DIAMOND NESTEGG, LLC.
    DUE TO THE SOCIAL NATURE OF THE SERVICE, THESE VIDEOS MAY CONTAIN CONTENT COPYRIGHTED BY ANOTHER PERSON OR ENTITY. DIAMOND NESTEGG, LLC CLAIMS NO COPYRIGHT TO SAID CONTENT & CANNOT BE HELD ACCOUNTABLE FOR THE COPYRIGHTED CONTENT. DIAMOND NESTEGG SHARES & STRIVES TO VERIFY INFORMATION BUT CANNOT WARRANT THE ACCURACY OF COPYRIGHTS OR COMPLETENESS OF THE INFORMATION ON OUR SERVICE. ANY COPYRIGHTED MATERIAL SHARED ON THIS SERVICE IS INTENDED TO BE SHARED BY FAIR USE. IF YOU HAVE A COMPLAINT ABOUT THE USE OF COPYRIGHTED MATERIAL, PLEASE CONTACT DIAMOND NESTEGG PRIOR TO MAKING A COPYRIGHT CLAIM. ANY INFRINGEMENT IS UNINTENTIONAL & WILL BE RECTIFIED TO ALL PARTIES' SATISFACTION.
    PLEASE REFER TO OUR TERMS OF SERVICE & PRIVACY POLICY LINKS FROM OUR WEBSITE FOR MORE INFORMATION.

ความคิดเห็น • 120

  • @DiamondNestEgg
    @DiamondNestEgg  ปีที่แล้ว +8

    Thanks for visiting our personal finance channel! We hope this free content will help fast-track your financial journey! Everyone's financial journey is different. Please note that there are questions/ comments which I will not be able to answer without fully understanding your financial, personal & other circumstances.
    >>WATCH NEXT
    ⭐ Buying T-Bills For Less In The Secondary Market: th-cam.com/video/vltydeB1d1o/w-d-xo.html
    ⭐ Top Four Brokers For T-Bills: th-cam.com/video/eq68aL3RXxc/w-d-xo.html
    ⭐ My New $60,000 T-Bill Ladder: th-cam.com/video/4gaDsNYlxA8/w-d-xo.html
    ⭐ Brokered CDs vs T-Bills: th-cam.com/video/zhEiyW2N7KE/w-d-xo.html
    ⭐ T-Bill Rates, Pricing & Interest | High Rate vs Investment Rate: th-cam.com/video/keerkA4XaIk/w-d-xo.html
    ⭐ T-Bill Auction Schedule | When You Can Buy New Issue T-Bills: th-cam.com/video/xZr6EWkVJw0/w-d-xo.html
    ⭐ China & The Fed Are Dumping Treasuries - Should You: th-cam.com/video/Ywlr0JiTZMk/w-d-xo.html
    ⭐ T-Bill Must-Knows: th-cam.com/video/jIBn3VFkDw8/w-d-xo.html

    • @coryjohnson3429
      @coryjohnson3429 ปีที่แล้ว

      Jen, tell me why you or I would choose a T-Bill ladder over a brokerage CD ladder or even a single T-Bill or CD purchase. I'm trying to understand the advantage when you consider the simplicity of the CD. Thank you. Thanks for the great videos!

    • @alpowers7088
      @alpowers7088 ปีที่แล้ว +3

      @@coryjohnson3429because yields are rising for short term tbills, and you’d be a bit more liquid, since your ladder will make funds available every month depending on your ladder structure.

    • @DaniElle-di4ho
      @DaniElle-di4ho ปีที่แล้ว

      Haha I went through and answered all the questions. Consider it a favor to a friend👍🏼😆

  • @GiantBlue1963
    @GiantBlue1963 ปีที่แล้ว +11

    Because I'm using T-Bills for my emergency fund (a ladder backed up with one month in a money market so that it's always as liquid as it needs to be). I prefer using the auctions with auto-roll. It's regular and less labor intensive, any fluctuations in rate are smoothed out by the steps on my ladder.
    I wish information like this was readily available when I was in my 20s.

  • @Beatles4Sale.
    @Beatles4Sale. 9 หลายเดือนก่อน +2

    Most of the higher TBills on the secondary market Schwab required 50k when I looked Tuesday night. You are correct that this is a problem for most investors.

  • @anncromarty2590
    @anncromarty2590 ปีที่แล้ว +8

    I prefer auction. I buy t bills as an investment to hold until maturity and to me the secondary market feels like trading bonds not investing, and I have no knowledge of how to trade bonds. Also, for my budget I like the smaller minimums I can buy at auction.

  • @aaronwilliamson4045
    @aaronwilliamson4045 ปีที่แล้ว +11

    I like the secondary market. Interest rates (yield to maturity) fluctuate. I am able to choose the best yield and also chose among the best yield between say 4 or 5 or 6 or 8 or 9 months maturity depending on which is the best yield. I have flexibility in choosing the maturity date to suit. I'm not locked in to auto roll and a ridged precise time schedule. Taxes could get more complex but the advantages outweigh as I don't see much difference in the prices.

    • @dougmanck4149
      @dougmanck4149 ปีที่แล้ว +2

      Still going to have bond premium or discount to amortize and accrued interest to deal with come tax time.

    • @aaronwilliamson4045
      @aaronwilliamson4045 ปีที่แล้ว +3

      @@mattr2913 To the best of my examination Fidelity digital 1099 type report and Turbo Tax chewed it up and spit it out for my 2022 tax return.

  • @Sunnysky321
    @Sunnysky321 ปีที่แล้ว +12

    Great video. One factor to consider is the opportunity cost between primary market vs secondary market. Assume you just missed the Treasury auction for the 26 week T-bill (4.6%), and your cash balance earns 0.1% in your brokerage account. You can buy it right away on the secondary market or wait for a week for the next Treasury auction. If you choose for Treasury auction, it will cost you 1/26x4.5 = 0.17% (annualized), which could be greater (or smaller) than the spread of the secondary market.

    • @dougmanck4149
      @dougmanck4149 ปีที่แล้ว +8

      Or keep the cash in your MM account currently at 3.6% for a week.

    • @petestandley2690
      @petestandley2690 ปีที่แล้ว +1

      @@dougmanck4149 Exactly, I keep reminding people that I talk with is that they need to also consider what their money is currently earning where it sits and look at that as well. Even a 4% bank CD is way better than leaving it sitting in a low/no-interest checking account. Also why I have drifted towards mid-length T-Bills 17 and 26 mostly so I get a reasonable bump over MM vs the short 4 or 8-week bills. I find the TD interface easy to use and can place orders well in advance and automatic rollover is an easy option/check box there.

  • @karlakerr87
    @karlakerr87 ปีที่แล้ว +15

    You make amazing teaching videos! Precise information with a touch of humor. I seriously look forward to these! Thank you so much! 👍

  • @brianaranha4870
    @brianaranha4870 ปีที่แล้ว +3

    The video is so detailed. This channel is a gem.

  • @LSinclair
    @LSinclair 21 วันที่ผ่านมา

    Hi Jennifer, the time I’LL possibly be buying and selling 30 year bonds on the open market 😊 is when I’ve made over a million and I may want to keep several hundred K in 30 year bonds and sell sometime before maturity - if I bought at a high rate, and rates are coming down. Suze has said you can profit as much as 18%, depending. Thank you for this completely helpful video on the ins and outs! I’ve been so curious!

  • @LSinclair
    @LSinclair ปีที่แล้ว +2

    This was so helpful Jen! I have been wondering this for weeks (ever since I heard S.Orman say in passing that she only buys them on the secondary market). Very enlightening..thank you, as always!!!

  • @timz7171
    @timz7171 ปีที่แล้ว

    thanks for this video. I am about to make my first T Bill purchases. Now I understand the diff between new and secondary market. thanks for the great video;

  • @jimclark5037
    @jimclark5037 ปีที่แล้ว +4

    Thanks for another helpful video.
    My wife and I just want to do better than bank rates with some of our "bucket 1" (mostly) liquid retirement money, so 3 month t bills at auction is working fine. I do understand wanting to know the rate you'll get before buying though!

  • @bigboatsgoby9563
    @bigboatsgoby9563 ปีที่แล้ว +5

    Another great video. Thanks Jen. As you keep saying everyone’s personal financial journey is different. To a great extent there is no right or wrong answer as to which approach is better for each of us. Personally, I have a pretty good understanding of the bond market and I like to be hands on so doing my own analysis and picking particular bond to invest in works for me. I also don’t like my cash sitting around in my account so I go with the secondary market. I can see where others would be much better served with auctions and auto rolls. Thank you for providing this education to everyone

    • @rajk9634
      @rajk9634 ปีที่แล้ว

      Isnt SPDR Bloomberg 1-3 Month T-Bill ETF - BIL better?

  • @cslloyd1
    @cslloyd1 ปีที่แล้ว +1

    A couple weeks ago I bought some 4-week and 8-week tbills in my first auction (I had been using the secondary market for a couple months). The 4-week came out to 3.2% while the 8-week was 4.95%. Big surprise to me. I think this was an unusual situation due to its being close to an FOMC meeting, but nonetheless, it really was an eye opener. The following week I bought 4 and 8 weeks again and it was much better. As soon as I got notified that the trade occurred, I looked up the secondary-market prices and it appears I got about 30-40 basis points better in the auction than the current prices of the secondary market. Not sure that's a fair comparison, but it was clear I did better in the auction

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      Thanks for sharing your experience!

  • @Jeff-sm1ow
    @Jeff-sm1ow ปีที่แล้ว +3

    Could you talk or do a video on rolling T-bills while you are building the T-Bill ladder? Specifically, the timing of when one T-bill matures and funds are available to purchase the follow on T-Bill. Particularly for those of us without an auto roll option.
    As an example if building a 13 week T-bill ladder. Starting in Dec. with 4 week T-bill that matures 1/10/23.
    13 week T-Bill has an auction date of 1/09/23, and a settlement date of 1/12/23.
    Does the maturing 4 week T-Bill mature and funds clear to support this 13 week T-Bill purchase?
    or
    Does cash have to sit idle for 9 days and wait for the next 13 week T-bill auction on 1/17/23, with an settlement date some 1/19/23.
    What if you are rolling from one 4 week T-Bill to another? Same Dec. 4 week T-Bill as above. Should the order be placed to purchase the new bill in the 1/5/23 auction with a 1/10/23 settlement, or would the next purchase have to wait for the 1/12/23 auction with a 1/17/23 settlement date. Creating 7 days of idle time.
    Also, what happens if a Non-comp. bid is made and the funds are not available from the maturing T-bill in time to settle?
    How do you handle the timing gaps?
    Thank you. Like your style and simple straight fwd. explanations.

  • @dbest4755
    @dbest4755 ปีที่แล้ว +2

    Jennifer working on TBill 13 week ladder. thanks for training...

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      Glad our educational videos were helpful!

  • @danielgarland9838
    @danielgarland9838 ปีที่แล้ว

    I have shared these videos with a coup[le of people that I know can benefit from your wisdom!

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      Thanks for sharing - we appreciate it!

  • @jaybrown6174
    @jaybrown6174 ปีที่แล้ว

    Your videos like this one are always so informative they have helped me a lot!

  • @vchill2845
    @vchill2845 10 หลายเดือนก่อน +1

    Also can u do a video to talk about what are the popular facilities / instruments that the various investment platforms u mentioned have for “ parking “ funds waiting to be invested ? For example , Merrill lynch has a preferred deposit for parking funds (cash ) that one may want to park on the side before one decides what to invest in . Thanks

  • @yangliu6277
    @yangliu6277 ปีที่แล้ว +2

    Awesome video! If I buy T-bills on the secondary market and hold them till maturity, is there any additional tax involved (other than federal tax) ?

  • @briangallant5973
    @briangallant5973 ปีที่แล้ว

    Thanks!
    Secondary market, for all the reasons you stated.

  • @dougmanck4149
    @dougmanck4149 ปีที่แล้ว +8

    No way do I want to deal with the additional tax consequences at year end. Have experienced that with corporate bonds in the past. No desire to repeat it. Only the auction for me.

    • @janaclark
      @janaclark ปีที่แล้ว +1

      Didn’t know it will make filing taxes even more cumbersome. Bought my first ones this year on secondary market; maybe never again. Good info in these videos and comments.

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      Agreed - the additional tax issues are navigable, but not worth the effort in my opinion

  • @dr.jerilynvogelsang3922
    @dr.jerilynvogelsang3922 ปีที่แล้ว +2

    Could you please give your thoughts on investing in annuities? I am just about to retire on a very fixed income and don't want any risk. Love your videos! Thank you in advance and Happy New Year!

    • @DaniElle-di4ho
      @DaniElle-di4ho ปีที่แล้ว +2

      In general from what I understand I think annuities mainly enrich the insurance brokers.

  • @Jeff-qp2zd
    @Jeff-qp2zd ปีที่แล้ว

    Thanks for another well planned video. Very easy to follow and understand the topic.

  • @lindazolinsky9962
    @lindazolinsky9962 ปีที่แล้ว +1

    Thank you for the excellent videos. This is all new to me. I'm thinking of buying T-bill from Treasury Direct. Lots of videos on buying. Do you have a video on how to cash out if we don't roll-over?

    • @seantretiak2959
      @seantretiak2959 ปีที่แล้ว +1

      I believe the funds show up automatically a day or so after maturity - back into the linked account.

    • @lindazolinsky9962
      @lindazolinsky9962 ปีที่แล้ว

      @@seantretiak2959 Oh OK thank you Sean

  • @dropby1913
    @dropby1913 ปีที่แล้ว

    Love your channel. I started buying T bill after watching your video.
    I believe there is another benefit in buying T-bill on the secondary market, that is Tax efficiency. For example, if you buy a T-bill with longer than 1 year to maturity, with yield of 5% and coupon rate of 1%, then you will pay at long term capital gain tax rate for the 4% gain on face value. Versus if you buy a new Tbill with 5% coupon, all of your gains will be taxed at your income tax rate.
    Depending on your tax bracket, this could be significant.

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      Hi. The longest T-Bill term is actually 1 year & interest earned on T-Bills is taxed as ordinary income.

  • @yogesh892
    @yogesh892 ปีที่แล้ว +3

    Are there any tax differences between buying in the primary and secondary market?

  • @TheWinghochui
    @TheWinghochui ปีที่แล้ว

    Thanks for your sharing!

  • @Bananalane
    @Bananalane ปีที่แล้ว

    Great video. Can you do a video for how to sale the T-bills prematurely in secondary market? Thanks!

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      It’s in the second half of this video: How To Buy T-Bills On Fidelity | Treasury Bills 2023 (Secondary Market)
      th-cam.com/video/kxxP8iHd7bg/w-d-xo.html

  • @xtctrader1467
    @xtctrader1467 ปีที่แล้ว

    Just be aware if you buy a Note or Bond in the Secondary market, what the Coupon Rate on the instrument you are looking at. If you're looking for the interest that will be paid every 6 months.

  • @jamesrobertson504
    @jamesrobertson504 ปีที่แล้ว +1

    Great video Jennifer! Regarding the bid/ask spread in the secondary market, do the brokerages require you to set the specific bid price if you are buying and the specific ask price if you are selling or can you just buy or sell "at the market" price like you can with stocks?

    • @xtctrader1467
      @xtctrader1467 ปีที่แล้ว

      I don't believe so. Not like stocks where you can enter a Limit Order.
      The brokers I believe will post the days Bid/Ask in the morning.

  • @blue-fj9ky
    @blue-fj9ky ปีที่แล้ว +1

    My reason for buying "used" T. Bills is that my broker does not offer participation in the auctions.

  • @bobbyf.4406
    @bobbyf.4406 ปีที่แล้ว

    To buy bonds in the second market is not a good idea, because the interest rate it shows is based on the bond's settlement date, but you will be charged immediately when you place a bond order, resulting in a lower rate. For example, you buy a bond with its settlement date is 1/17/23, but you will be charged today 1/12/23. If you buy bonds via Treasurydirect, your money will stay in your 3-4% saving account until issue date.

  • @vchill2845
    @vchill2845 10 หลายเดือนก่อน

    Super useful analysis , thank u Jen . It is good to know that buying Secondary market treasuries has so many advantages / conveniences . May I ask for your opinion in JP Morgan ‘s platform for buying treasury bills ?

    • @DiamondNestEgg
      @DiamondNestEgg  10 หลายเดือนก่อน

      Duly noted, but it may take some time as we do not have an account with JPM & setting one up is typically a lengthier process than for most folks because of compliance, regulatory, etc checks that need to be run.

  • @pettromen
    @pettromen ปีที่แล้ว +1

    QUESTION -- what typeof account should i open up on Fidelity to purchase T-bills

    • @DaniElle-di4ho
      @DaniElle-di4ho ปีที่แล้ว

      You buy under any treasury account: Roth IRA, traditional IRA, regular taxable brokerage. What type of account do you want to open?

  • @Beatles4Sale.
    @Beatles4Sale. 9 หลายเดือนก่อน

    I made the mistake of placing a secondary market TBill trade after hours on Schwab. The order remained open and was filled when the market opened the following day.

  • @Dahon5
    @Dahon5 ปีที่แล้ว +1

    I have a question, what happens if you buy a t-bill on a brokerage on the secondary market and it matures. Let's say June 2023 t bill matures. What happens June 2023, does the money automatically get deposited in your brokerage account? Do you have to sell the t-bill in order to get the money?

    • @njtexit8
      @njtexit8 ปีที่แล้ว +1

      It should not be any different than on the primary market.
      The money gets deposited into the "cash" portion of your brokerage account.

  • @discerningacumen
    @discerningacumen 8 หลายเดือนก่อน

    On Zacktrade, the commission rate is 0.2-0.1%.

  • @alexto1
    @alexto1 ปีที่แล้ว

    Thanks!

  • @rajk9634
    @rajk9634 ปีที่แล้ว

    Isn't "SPDR Bloomberg 1-3 Month T-Bill ETF" BIL better than all the hassle of buying treasuries? Offers same state/local tax benefits. Flexibility is great.

  • @rhil2048
    @rhil2048 ปีที่แล้ว

    Great video @DiamondNestEgg as I am new to Tbills. In your video you mentioned Tbills puchased on secondary market do not have auto roll. So when purchased via fidelity secondary market do proceeds just autmatically deposit to cash account at maturity date then?

  • @michaelminauro4180
    @michaelminauro4180 ปีที่แล้ว +1

    Good stuff

  • @cutespn
    @cutespn 6 หลายเดือนก่อน

    Is there any advantage of using a Tbill etf instead, like CLIP

  • @GrayLensman51
    @GrayLensman51 ปีที่แล้ว +1

    What effect if any would a Congressional debt ceiling fight in August this year have on pre-existing Treasury Bill maturity/redemptions?

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      This was just published: th-cam.com/video/vMJDAv2jNso/w-d-xo.html

  • @alphamale2363
    @alphamale2363 ปีที่แล้ว +1

    Great presentation. BTW let us know whether you decide to buy I-bonds this year or receive a gift from your spouse.

  • @TALLXXL
    @TALLXXL ปีที่แล้ว

    OH.. THIS GOING TO BE GOOD

  • @danmarkiewicz3697
    @danmarkiewicz3697 ปีที่แล้ว

    Hi @DiamondNestEgg In the event that the new Congress does not raise, or should it even lower the debt ceiling, what concerns would we have regarding risk and the safety of our T Bills? If the US Government defaults, do our T Bills become worthless? Is the principal guaranteed under this scenario? Do you know the timing of when Congress might begin their next round of debt ceiling talks?
    Jennifer, many thanks for your thoughts and sharing these great videos.

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว +1

      This was just published: th-cam.com/video/vMJDAv2jNso/w-d-xo.html

    • @danmarkiewicz3697
      @danmarkiewicz3697 ปีที่แล้ว

      @@DiamondNestEgg I saw it, Nicely done @DiamondNestEgg ! Thank you, Jennifer, for answering the question(s) I've been asking and also providing the links to your reference material. By the looks of the number of comments many others have similar concerns. Thanks again for the thought-provoking analysis.

  • @jhg1051
    @jhg1051 ปีที่แล้ว

    Given that rates in the Primary Market for T-Bills is so strong ... I don't fully understand the need to buy except for different date ranges.
    I'm not trading LARGE volumes so to speak, and have superficial knowledge of the market.
    so stick with primary? just using fidelity as a brokerage?

  • @kakown
    @kakown ปีที่แล้ว

    How do I calculate the returns when I buy t-bill on secondary market?

  • @loupb9539
    @loupb9539 ปีที่แล้ว +1

    I think that TD is worth the short delay, Buying through TD gets you the highest possible rate. See the 26 week bill from Dec 15: 912796X53 . It auctioned at High rate: 4.63%, Investment rate: 4.807% I see it on the Chase site for YTM ask yield of 4.48%
    No reason not to buy direct. Hate leaving money on the table for the Big Banks.
    The 26 week bill being issued this week is at 4.812% investment rate.

    • @aaronwilliamson4045
      @aaronwilliamson4045 ปีที่แล้ว +2

      26 week Bill 912796ZR3 auctioned at 4.775 and is offered at Fidelity at 4.791.
      26 week bill 912796ZS1 auctioned at 4.812 and is offered at Fidelity at 4.824.
      No money left of the table here.

  • @cecewang70
    @cecewang70 ปีที่แล้ว

    After watching your videos, I purchased a 4 week Tbill for $20K the day before yesterday at Fidelity. But my account balance is showing a negative change of $11.65 today. Could you please explain why and how to look at the position overview table? Thanks!

  • @izzybee-hq6px
    @izzybee-hq6px ปีที่แล้ว

    Which video is on new treasury vs reopened treasury?

  • @liwang4357
    @liwang4357 ปีที่แล้ว +2

    I have some CD purchase few years back at 2% and will be mature three years later in 2025. Do you think it is a good idea to sell those CD and buy more higher rate >4% of T-BILL?

  • @mountains1233
    @mountains1233 7 หลายเดือนก่อน

    I want to buy secondary 4 week t bills so I can liquidate them immediately if I ever need the cash, which I can't do on treasurydirect. Is this a legit reason?

  • @peiyun99
    @peiyun99 ปีที่แล้ว

    Thanks so much for sharing your knowledge. I try to find out that can I give my I-bond or EE Bond to my child for a gift?

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      Here’s the video for buying I-Bonds for a minor child: I Bonds For Kids | How To Buy I Bonds For Minors (STEP-BY-STEP via Treasury Direct, DOs & DON'Ts)
      th-cam.com/video/YlE3Uxoeah4/w-d-xo.html

  • @warlord-ze7tx
    @warlord-ze7tx ปีที่แล้ว +1

    Are t bills even worth doing at 4 or 8 weeks? It seems like put a 100 in and get a dollar or two back

    • @lpr1212
      @lpr1212 ปีที่แล้ว

      It’s a good investment if you have enough of them! That’s a paraphrased quote from Groucho Marx I read years years ago as his response to someone who asked him what he invested in. When he said Treasuries, his friend said, you can’t make money in Treasuries. It always makes me smile. My goal is to be able to only invest in Treasuries and not have to worry about the ups and downs of stocks. Lynn

  • @adityahpatel
    @adityahpatel ปีที่แล้ว

    On Ameritrade, when the bond matures, what do you have to do to get your face value back!? Suppose if you forgot to do something, what happens? Will you get the money back. e.g. Suppose a bond matures april 15h, 2023, if you forget to take action, what happens to your money? What does ameritrade do with that money if you forgot to take action on april 15th 2023?

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      The proceeds should go back to the account you purchased them from on TD Ameritrade

  • @mikebiase6710
    @mikebiase6710 ปีที่แล้ว

    Off topic question - when can I gift my I bonds? I bought them in July 21

    • @markhayes9130
      @markhayes9130 ปีที่แล้ว

      You can gift your I bonds at any time. Just remember the total amount of allowed I bonds (per person) is $10,000. So If the person already has reached their limit for the CALENDAR year, you cannot gift it to them. You will wait until the following year to gift it (January 1).

  • @jonny6758
    @jonny6758 ปีที่แล้ว

    Hi what app would you say is the best for secondary market would you try fidelity or have another option you would recommend I know you have a few to choose from

  • @KMPinVT
    @KMPinVT ปีที่แล้ว

    Hi, is there a detailed list on treasury direct of dates and amount of interest added to IBonds? I have tried to find this, I can only see the overall amount, so cant tell when the interest was added to know how much interest in a given year / time period. Thanks

  • @chunchen3094
    @chunchen3094 11 หลายเดือนก่อน

    What's the coupon rate?

  • @tiamariza7348
    @tiamariza7348 ปีที่แล้ว

    Can you explain what a' reopening-treasury issues' for treasury bill means? please.

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      The first half of this video explains reopening auctions: Secondary Market T-Bills vs New Issue T-Bills At Auction (What's Better) | Treasury Bills 2023
      th-cam.com/video/vltydeB1d1o/w-d-xo.html

  • @Encourageable
    @Encourageable ปีที่แล้ว

    Bought some 6 month T Bills through Vanguard today. It said the price could fluctuate if inflation went up. So why is the secondary market locked in at a certain %? I must be missing something.

    • @DaniElle-di4ho
      @DaniElle-di4ho ปีที่แล้ว

      Secondary, like auction, is locked in if you hold to maturity

  • @Sam9wilson9
    @Sam9wilson9 ปีที่แล้ว

    If you have an IRA at fidelity aren’t you limited to purchase second hand? Not sure how one could buy with IRA funds at Treasury Direct? Thanks for any input !

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      We buy new issue Treasuries in our Fidelity IRA as well

  • @Pelican5077
    @Pelican5077 ปีที่แล้ว

    We live on our sailboat and have no permanent address. I have residency in FL and legal mail address. But because it is a commercial address I cannot get verified on Treasury Direct. I’m trying to get this resolved. Until or unless I do, the secondary market is my only option. Also can’t buy I bonds for same reason. Being a nomad has a lot of advantages. But there are some things that are difficult.

    • @DaniElle-di4ho
      @DaniElle-di4ho ปีที่แล้ว

      You can buy at auction on most major markets, just no ibonds

  • @user-ri5vg2gg2q
    @user-ri5vg2gg2q ปีที่แล้ว

    What's your take on UTWO ETF? 2yr note

  • @dashcamvideos6742
    @dashcamvideos6742 ปีที่แล้ว

    I have a question. If I missed this week’s auction, can I put my order in today to order for next week or do I have to wait for that day?

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      This video should help: th-cam.com/video/xZr6EWkVJw0/w-d-xo.html

  • @JoeSouth77
    @JoeSouth77 ปีที่แล้ว

    Thx

  • @mauritaoconnor6451
    @mauritaoconnor6451 ปีที่แล้ว

    Late to the game watching this video. If I wanted to buy T Bills through my Fidelity IRA, can I get new issue at auction through them or are they all secondary market ones with higher fees? Hope this ? makes some sense!

    • @DiamondNestEgg
      @DiamondNestEgg  ปีที่แล้ว

      You can buy new issues at auction - here’s the video: How To Buy Treasury Bills, Treasury Notes, Treasury Bonds | Fidelity & TreasuryDirect (Step By Step)
      th-cam.com/video/rFuiC-UNeMc/w-d-xo.html

  • @AnkurParikh81
    @AnkurParikh81 ปีที่แล้ว

    Can one sell new issue T-bills purchased through TreasuryDirect into the secondary market before maturity?

    • @DaniElle-di4ho
      @DaniElle-di4ho ปีที่แล้ว

      No, you can’t sell with treasury direct, only hold to maturity

  • @andreytravkin7579
    @andreytravkin7579 ปีที่แล้ว

    Does anybody know how to get a statement for I-bonds?

    • @DaniElle-di4ho
      @DaniElle-di4ho ปีที่แล้ว

      Build a Time Machine to 1995?🤣

  • @sh3lby886
    @sh3lby886 ปีที่แล้ว

    What are your thoughts on building a ladder in Roth at TD and a ladder with extra cash.
    Emergency fund is funded
    Maxing out 401k company matched.
    Maxing out Roth.
    Your thoughts?
    I really want to Dollar Cost Avg in an index as well but not sure how to set it up with TD.

    • @DaniElle-di4ho
      @DaniElle-di4ho ปีที่แล้ว

      I personally would only use Roth for equities, it’s a waste of the power of no taxation on earnings to put treasury bonds in there. But, everyone’s situation is different!

  • @tonytieu1
    @tonytieu1 ปีที่แล้ว

    Auction frequency: th-cam.com/video/k1IFWXmJTRk/w-d-xo.html

  • @matgonsale9781
    @matgonsale9781 ปีที่แล้ว

    👍👍👍