Floating rate notes versus cash and term deposits

Cash is back and investors now have a bunch of options to help stay ahead of inflation.
James Marlay

Livewire Markets

It seems like yesterday that equities were the only game in town. Remember TINA? The acronym describes the reality that ‘there is (or was) no alternative’ to stocks as yields went to zero and even negative in some regions.

Today, investors have far more choice, and in many cases, people are happily parking a chunk of assets in cash as they await clarity about the best opportunities. As is often the case with investing, investors have a choice as to where to park their hard-earned money.

I spoke with Simon Mullumby , the Head of Australian Cash and Bonds for State Street Global Advisors, to explain the pros and cons of some of the different options available. Mullumby says investors need to consider a few trade-offs around liquidity and returns when looking at cash, term deposits and money market funds.

Click on the player below to watch the short video


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Simon actively seeks to invest in interest-bearing investments of high credit quality, rather than investing in a predetermined basket of securities such as an index. For further information on the Floating Rate Fund, please visit the fund profile below.

Managed Fund
State Street Floating Rate Fund
Global Fixed Income
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James Marlay
Co Founder
Livewire Markets

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