USFR: Cash Still Makes Sense

Impact · against what's priced in

USFR is a tactical buy as floating-rate structures outperform long-duration treasuries in a climate of fiscal deficits and inflation uncertainty. The shift toward capital preservation and yield stability provides a positive catalyst for the fund's risk-adjusted return profile.

USFR+0.40

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In context

The fund's near-zero duration structure is positioned to provide superior risk-adjusted returns compared to long-duration Treasuries, which are hampered by high term premiums and fiscal deficits.

Read from the article alone

• fed▲124%
• inflation▲12%
• USFR
• duration
• etf
• floating rate
• rate cut
• treasuries