SPAXX about to go negative [what are good cash funds?]

[blockbasher]

Welp I'm sure everyone here is aware, but $100,000 in SPAXX paid 79 pennies in June. Any ideas for parking some cash before things may start going negative ?

[abuss368]

Welp I'm sure everyone here is aware, but $100,000 in SPAXX paid 79 pennies in June. Any ideas for parking some cash before things may start going negative ?

What is SPAXX?

[Fclevz]

Cool fact: a ticker ending in a double X is a money market fund.

As for it going negative, doubtful, Fidelity will likely just waive expenses to keep that from happening.

[whodidntante]

It's unlikely to go negative. Historically, the fund reduced expenses to avoid that.
Although, you're already losing purchasing power by owning a fund that yields a rounding error.

[HomeStretch]

Check the rates on savings accounts and CDs (including no-penalty CDs) at online banks like Marcus, Ally, etc.

[essbeer]

I just notice today my SPRXX investment paid $.05 last month. Language on the fund page makes it sound like they are already waiving some of the expense ratio: "Prospectus Net Expense Ratio is 0.42% as of 6/29/2020 and may not include certain voluntary reimbursements and waivers that reduce the actual expenses of the fund. The voluntary reimbursements and waivers can be discontinued at any time."

[Stinky]

Welp I'm sure everyone here is aware, but $100,000 in SPAXX paid 79 pennies in June. Any ideas for parking some cash before things may start going negative ?

Look at the bright side.

By early 2021, you’ll have enough to pay for a Big Mac meal.

Maybe even enough for a large fries and an apple pie.

[JoMoney]

If you had $100,000 in SPAXX, you should have been in FZCXX , which is the Fidelity® Government Money Market Fund - Premium Class that has a lower Expense Ratio.
... That said, both are currently only yielding 0.01% and only after fee-waivers to keep it from being negative net of ER ...
I've keep a little in FZCXX just to continue to have access to the lower ER fund, but am keeping the bulk the bulk of my cash in a high-yield savings account elsewhere and in U.S. Savings Bonds

[gasman]

Tomorrow 4 week T Bill auction. Should yield about 0.12%. 100K for 4weeks should yield about $10. Pre-tax.

[annu]

Thinking about moving some of my mm funds to GNMA/MBS https://investor.vanguard.com/etf/profile/VMBS. Seem to be fully govt backed, with main risk around interest changes, which will bot happen anytime soon....

[anon_investor]

Check the rates on savings accounts and CDs (including no-penalty CDs) at online banks like Marcus, Ally, etc.

+1.

[RetiredCSProf]

Fidelity Govt Cash Reserves (FDRXX) in lieu of SPAXX.

I recently received an updated Investment Strategy Report from Fido (this is for a self-managed account). The report recommends FDRXX instead of SPAXX for MM, but offers no rationale for the change. Ironically, a couple years ago, Fido recommended that I switch to SPAXX after I had held FDRXX for many years.

[RetiredAL]

I normally do not leave a large $ amount in a core fund. There is more income available elsewhere for a minor amount of effort.

Based on my actual income receipt for FXNAX ( US Bond Index Fund ) received on 6/30 : 1.86% annualized