Key insights
- The post discusses strategies for managing cash holdings, emphasizing low risk, high liquidity, and inflation compensation. The author uses ERNX, an ultra-short corporate bond ETF. While the discussion is general, increased allocation to bond ETFs could marginally support fixed income markets.
Hi everybody,
I was not overly smart with my investments for most of my life, but cannot complain either. My - so far - latest mistake is that I was keeping all my cash (25-30%) on my regular bank or brokerage account.
Started moving a part into an ultra short corporate bond etf (ERNX), which appears to have a low risk profile, and significantly better return than my normal bank account. (Please correct me if I am wrong.)
What do you do with your cash, if the priorities are: low risk, not moving with market, high liquidity to be ready to pull the gun when an investment opportunity shows up and inflation compensation.
My main investments are in EUR, USD and GBP. Main income stream (other than dividends) is in JPY and small part in EUR.