Series I bonds offer 4.26% return as top cash investment
Updated
Updated · MarketWatch · May 6
Series I bonds offer 4.26% return as top cash investment
12 articles · Updated · MarketWatch · May 6
After the May 1 reset, the rate combines a 0.9% fixed component and 1.67% six-month inflation rate, beating many one-year Treasurys, CDs and savings accounts.
Buyers must hold I bonds for at least a year, face a $10,000 annual purchase cap per person, and forfeit three months' interest if redeemed before five years.
Advisers say the bonds are attractive for capital preservation as inflation stays uncertain and rates may fall, echoing conditions that drove record I-bond demand during the 2022 inflation surge.
With inflation rising, are I bonds the best safe-haven or a liquidity trap for your cash?
How does an I bond's hidden tax advantage truly stack up against a traditional CD's return?
Do soaring I bond rates signal a return to the high inflation of the early 2020s?