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A Cash Machine Anyone Can Use

Rather than putting my cash in a bank account, I put them into treasuries because either way, while I wait to decide what I want to do with the money, you can trade in and out of them very quickly. But, the way that I do it is a little bit unique.

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    Abschnitt 1 Rather than putting my cash in a bank account, I put them into treasuries because either way, while I wait to decide what I want to do with the money, you can trade in and out of t

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Locally archived YouTube transcript with timecodes. Speakers are assigned heuristically and may be corrected editorially.

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0:00Rather than putting my cash in a bank account, I put them into treasuries because either way, while I wait to decide what I want to do with the money, you can trade in and out of them very quickly. But, the way that I do it is a little bit unique. And so, rather than say I'm just going to buy a bunch of T-bills today, we buy T-bills that are due in 6 months, 12 months, 18 months, and 24 months. That way, every 6 months, I have treasury bills with interest that come due, and then I take that money with the interest and buy 124 months out. So, you end up creating a nice cash machine that you actually get higher returns on the money over that period of time with the same low risk that treasury bonds afford you. That always beat cash bank account. Anyone can do this.