I'll add that for most of us, there does not always need to be major hoops to jump through. As a hypothetical example, if a married couple moving cross country realizes say $750K from a home sale that likely will be spent on a new home in the new locale within say about 2 months, they can leave it in a bank, leaving $250K uninsured, or move it to a treasury MMF at a major institution like Vanguard, T Rowe Price, or Fidelity (listed in order of increasing ER).
I would likely use a treasury MMF like VUSXX for a longer term cash position that exceeded FDIC/NCUA limits (although we generally only maintain a small cash position).
For a CD ladder exceeding insurance limits, use brokered CDs and buy from different banks (and can even conveniently mix in a treasury or two for added liquidity). Or just use treasuries or a treasury fund.
I would likely use a treasury MMF like VUSXX for a longer term cash position that exceeded FDIC/NCUA limits (although we generally only maintain a small cash position).
For a CD ladder exceeding insurance limits, use brokered CDs and buy from different banks (and can even conveniently mix in a treasury or two for added liquidity). Or just use treasuries or a treasury fund.
Statistics: Posted by Northern Flicker — Wed Jul 31, 2024 2:33 am
