Loading ...I have no idea to be honest, but my thinking is if tbills fail then our whole world is gone. And the government can print money to keep paying the tbills. No doubt we would be losing money especially considering whatever inflation gauge you like. Still most of your principal would exist. I am still pondering the problem. If your only concern is preserving paper capital what to do?
I will post more if better ideas present. For now over the next many months I will rotate out of positions into 4 wk tbills. I may even sell NAK even though originally I planned to hold. One of the other reasons I need to retire from trading, my mood has gotten to affect my trading.
I wish I could be of more help.
aurum
I didn’t address your concern of the shuffling of the government debt payments. Of course it could happen. Would not surprise me. But think of the havoc on banks, insurance companies that hold them. So it seems to me to be a lesser risk.
added: keeping some US dollar cash as you hint at I think is a good idea. But if tbills fail won’t that? Again I will try to post a better idea as I have spent much time trying to decide the best plan for my family.
and added while perhaps the smallest risk is the third party risk. Some of our bonds particularly isavings bonds which we bought when you could get 10% out of the gate and use several legal avenues to buy in quantity are not a bigger problem but the 4 week tbills through our brokerage has a certain perhaps little third party risk