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How should I think about what % of Cash vs Bonds I should be holding in my asset allocation? VBTLX has an Estimated SEC yield of 2.53% while high yield savings can offer a Guaranteed 2.2%. Also cash is more liquid and won't drop in price like bonds can. Thank you!
The link bluquark posted is an excellent discussion of the matter. That said, and as per your question, should you be thinking about it? Absolutely! My only other thought is that dependent upon the rate(s) you can obtain, it might be worthwhile for you to consider one of more CDs as a possibility---CDs potentially being a "sweet spot" in terms of duration.
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