Municipal Bond Forum
Better off leaving emergency funds in cash
Q
You missed the whole point of laddering. For retirees, it gives you the cash reserve to cover emergencies if there should be any. If there are no emergencies or you don’t need the cash, you can reinvest it. Retirees live on bond interest and do not accumulate interest to cover emergencies.
A
James A. Klotz responds:
If you work the numbers you will find you would be and would have been better off leaving your emergency and transactional funds in cash while earning 100% to 300% more on your investment dollars.
Start here.
Do you have specific criteria for bonds you’re looking for? Let us know and we’ll e-mail you bonds that fit your needs. There is no charge for this service.
This report is produced solely for informational purposes and is not to be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. This report is based on information obtained from sources believed to be reliable but no independent verification has been made, nor is its accuracy or completeness guaranteed.