Discussion of the Bond portion of the Permanent Portfolio
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4 posts • Page 1 of 1
Fidelity looks to have this new fund, would it work for the STT?
They currently hold >30% of assets in repurchase agreements. For the same expense ratio, you can get FDLXX, which holds only Treasuries. I use FZFXX as the core position in one brokerage account instead of SPAXX, but that's usually just for change.
Ok thanks. I wonder if FZFXX is preferable to FCASH for core position in Fidelity?
As cash vehicles go, FZFXX looks pretty good. It "...normally invests at least 80% of the fund's assets in U.S. Treasury securities and repurchase agreements for those securities" and 80% T-bills is a pretty good proportion. It's hard to find much better. The expense ratio is high but not outrageous. I'd be comfortable using it. I didn't confirm the bit about repurchase agreements, but the reasoning is sound, so it sounds like FDLXX is a little better.