Market MakeHer Podcast

31. Edu-action: How To Build a Brokerage CD Ladder

Mar 29, 2024
Discover how to navigate falling interest rates without sacrificing your cash's potential earnings. Learn about the benefits of brokerage CD laddering, which allows lower-risk parking of funds while locking in attractive yields. Understand the key differences between traditional and brokerage CDs, including how to view a variety of options across numerous banks. You'll also find out how to strategically build a CD ladder to optimize cash flow and ensure returns, even in a fluctuating market.
Ask episode
AI Snips
Chapters
Transcript
Episode notes
ADVICE

Prepare For Fed Moves, Don’t Time Markets

  • Prepare, don't time the market; understand expected Fed moves and structure cash accordingly rather than trying to predict exact cuts.
  • Use CD ladders as a preparation tool to lock current yields while awaiting macro changes.
ADVICE

Use Brokerage CDs To Access Better Rates

  • Do consider brokerage CDs to access many banks' CD rates from one platform and potentially get higher negotiated yields.
  • Call your brokerage if confused; licensed reps will walk you through setting up CDs and ladders for free.
INSIGHT

Inverted Yield Curve Creates Short-Term Edge

  • Notice the current inverted yield curve where very short CDs yield more than long-term ones, creating a unique opportunity.
  • This lets you lock higher front-end yields today without waiting years for better rates.
Get the Snipd Podcast app to discover more snips from this episode
Get the app