Fidelity does (maybe not nightly...It seems they all do a couple days float, which is fine). I will have to call Schwab and look at the other options including the two goverment bond funds. Just hate to see them rise and fall vs locked in... Thanks people...This is one of the best uses of these forums.
Careful when you consider bond etfs. A lot of them also expose you to longer treasury duration and many even invest in bank corporate bonds, they swing widely relative to tbills and some even expose you to credit risk. Read the prospectus and investment brief to understand their holdings.
Took a night to sleep on what you said... My mind works different that most people...I was ADHD as a kid. Most albums (from 60's or 70's), I can tell you what the next line of the song will be...Good at Jeopardy type person. I remember someone (smart person) mentioning about 20 years ago, that FDIC has not really been tested. I believe that...What happened to Silicon Valley Bank (and others), was just a small battle. I believe a big war is coming where FDIC will be really tested. A bank goes under, they may pay 50% now, 25% in one year, and the last 25% in the second year. AGAIN, IT HAS NOT BEEN FULLY TESTED!!! 2008 my wife and I walked our savings and checking accounts (cashiers check, with the safety deposit box) to Wells Fargo. I didn't care what Wells Fargo paid...I just didn't want to test my old bank (it did go under). Just my belief and thoughts...
Finishing off the thread. I called Schwab about the two Schwab bond/money market funds. They said they could not sweep into them...They must be bought. But then I looked at their website (with a Schwab rep on the phone), and the minimums changed on their US Treasuries!! This happened over night...Down to $1,000. per unit. I didn't even want to bother with the middle of the bid/ask (since they were so thin). Just bought my $9,000. treasure, that matures on Oct 31, 2023. The other big concern is when other US Treasuries I own (or covered calls get called away), I will be sitting there with maybe $50,000. earning 1/2 of one percent, unless I make a manual move. You have to be on top of their sweeps (or trade) at all times!!! I don't like that...
I'm not following - just buy SNOXX and get 4.56%. Why does it have to be swept? You just want it to be automatic, is that the only issue? Money Market Funds | Charles Schwab
SNOXX primarily holds repos with an average maturity of 1-7 days, exposing investors to a certain degree of credit risk. Not much but non zero, different from t-bills.
Yeah, Schwab doesn't have a default...Just to their bank. So I have to manually buy the shares. Just a headache I'd rather not deal with. Years ago, both Schwab and Fidelity would sweep automatic to a money market fund...