Larry Berman CFA, CMT, CTAGlobal X 0-3 Month T-Bill ETF CADCBIL.TOWEAK BUYFeb 10, 2025

Nothing wrong with CBIL at all, especially in a registered account.

He very much likes ZST.L from BMO. The "L" unit gives you the ability to convert the growth in that money market holding into a capital gain. This is for a taxable account.

If you're talking millions and millions of dollars, the miniscule differences in the rate you get can really add up. If you're talking normal amounts, don't sweat the varying differences in yield.

For anyone who's nervous, between moves, or keeping $$ on the side. Goes up, pays a dividend, goes back down. MER is 0.1%.

One neat feature of this ETF.... If you're looking to exchange currency on a hefty amount of money (say, from selling property in the US), you can buy this as CBIL.U in your US account. Ask them to journal it over to your Canadian account (where it shows up as CBIL), and you can sell it. Voila. You just went from USD to CAD with a much lower spread than the bank would give you. You'll save, potentially, 1-1.4% on your money.

Top-flight safety. Yield's ~2.5%, not tremendous. About as liquid, and as safe, as you can get. A place to put cash for quick and easy access for future opportunities without any NAV erosion.

He's been holding a lot of this. Very safe, short-term government. Any time you want to take on more risk, you have to go up the curve. He recently added FHIS.

Safe place to park cash. He's in it heavily right now.

A great buy at the time. Paying only about 2.85% now. He might start looking at other options that pay a higher yield, perhaps some of the banks.

Pays 4.25%, not bad for a risk-free asset. He prefers government to corporate bonds for its lower risk.

Generally with ETFs, you're in and out the same day, so you have instant liquidity. If he was concerned about a downturn, he'd just look at a daily high interest ETF like HISA or PSA. Those ones give you 5-5.5% right now, and next day liquidity.

You can but 3-month T-bills yourself. IF this charges an MER, it wipes out your gains.

The 12-month yield is 3.8% and the net indicated yield is 5.2%. Very safe. These are Canadian government T-bills.

Good product for short term interest rates.
Inverted yield curve will provide opportunity with this product.
Safe assets (no risk).
Great for defensive investors. 

Invests in 0-3-month Canadian t-bills, so returns are guaranteed. The current 4.23% yield and the yield to maturity is 4.98%. The MER is only 11-15-points, so very low. Yields have to rise in the face of inflation, so that helps increase this yield. It holds cash in your portfolio during current volatility.