Treasury Bond ETF Offers Safety Net Amid Stock Volatility
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Owning BIL provides a 5% yield on near risk-free short-term US Treasuries as an alternative to overvalued stocks.
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With stocks potentially overvalued and recession risks rising, BIL offers capital preservation and liquidity to buy future dips.
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BIL provides monthly dividend income that has kept pace with inflation over the past year.
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There is minimal counterparty risk lending money to the US government through BIL.
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While BIL could miss out on further stock gains, it protects against downside if markets correct from all-time highs.