Submitted by WhydIGetLocked t3_yip9vr in personalfinance
AdditionalAttorney t1_iujswkr wrote
Why do you want/need i bonds? That’s the first question.
They serve a specific purpose.
Some ppl use it as a long term bond holding part of their overall asset allocation needs in their portfolio
Some people layer it in for their emergency fund bc the rate was higher than a HYSA
Some people use it for sinking funds that are 1-5 years out (you lose some interest in this case).
there’s not a blanket statement of “get bonds”
WhydIGetLocked OP t1_iujt8yv wrote
Haven’t thought of a specific purpose, not using my emergency funds on it or anything just somewhat young and have money in the bank that’s not doing much of anything. Was wondering if I-bonds were a good option for putting that money to use seeing as I probably wouldn’t need to withdraw it early.
AdditionalAttorney t1_iujuzot wrote
If you don’t need the money for 5 years you’re much better off investing in a broad market index fund like the vanguard total market index.
Go through the flow chart in the wiki, that will help you figure out what the money should be for
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