So the treasury buying tutorial in the Bonds section is awesome and helped convince me how easy it is to hold LT bonds directly through Fidelity.
I'm considering doing the same with my cash by building a 1-3 year treasury ladder. However, I personally need something "automatic" that doesn't require me to constantly monitor my investments. Fidelity has a nice bond ladder tool, but it apparently has a minimum of 5 years required in the ladder.
If anyone here is currently using Fidelity for managing a ST bond ladder and can recommend an easy system, please let me know. Otherwise I'll probably just stick with SHY and not worry about it.
Thanks.
Setting Up a Bond Ladder
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Setting Up a Bond Ladder
Last edited by Tyler on Sat Mar 17, 2012 8:40 pm, edited 1 time in total.
Re: Setting Up a Bond Ladder
Im interested in this too.
Also, Tyler, does setting up the LT bond ladder through fidelity make it so I wouldnt have to fool with it very often also other than adding money to it?
I may try that for long term and stick with SHY or a plain old savings accnt if the 1-3 yr thing takes constant monitoring
Also, Tyler, does setting up the LT bond ladder through fidelity make it so I wouldnt have to fool with it very often also other than adding money to it?
I may try that for long term and stick with SHY or a plain old savings accnt if the 1-3 yr thing takes constant monitoring
Re: Setting Up a Bond Ladder
Why couldn't you just set up a calendar event on your smart phone, computer, or something online like google calendar to send you a reminder (via email or txt) when you need to re invest a bond that has reached maturity? Set it and forget it!
Re: Setting Up a Bond Ladder
I was poking around and found Fidelity Auto Roll: https://www.fidelity.com/fixed-income-b ... ll-program
This would take a bit to setup, but it should work for 1-3 year bills
Only works with Primary Auctions, no secondaries.
What securities are eligible for the program?
Only Treasury auction securities or new-issue CDs with a term to maturity of five years or less are eligible for this program. Treasury inflation protected securities (“TIPs”?), inflation protected CDs (“CDIPs”? or “IFCDs”?), callable CDs, floating and adjustable rate CDs, and CD purchases exceeding $250,000 are all ineligible, as are all other fixed income instruments and all secondary Treasury or CD securities. Auto roll is not available for CD purchases in retirement accounts.
This would take a bit to setup, but it should work for 1-3 year bills
Only works with Primary Auctions, no secondaries.What securities are eligible for the program?
Only Treasury auction securities or new-issue CDs with a term to maturity of five years or less are eligible for this program. Treasury inflation protected securities (“TIPs”?), inflation protected CDs (“CDIPs”? or “IFCDs”?), callable CDs, floating and adjustable rate CDs, and CD purchases exceeding $250,000 are all ineligible, as are all other fixed income instruments and all secondary Treasury or CD securities. Auto roll is not available for CD purchases in retirement accounts.