Considering I Bonds

As you're aware, the United States is experiencing inflation that our country hasn't had since 1981.  It's unknowable what the impact of inflation on your portfolio will be over the long-term.  We generally plan for the affects of inflation by suggesting clients have a diversified portfolio for their investment accounts.

We wanted to make you aware of US Government Series I Savings Bonds as a potential investment option for you.  I Bonds are a type of US savings bond designed to protect the value of your cash from inflation.  I Bonds have become quite popular during the inflationary environment we've been in as they currently carry an interest rate = 9.62% (through October 2022).  

If you'd like to learn more about I Bonds, we suggest reading an excellent article on Forbes titled 'What Are I Bonds?" (click on the link to take you to this article).  As well as reading the information about I Bonds from the US Government TreasuryDirect website.

As noted in the article, you need to buy I Bonds directly through the US government's TreasuryDirect website.  (You can also puchase I Bonds using up to $5,000 of your Federal tax refund on your Federal tax return.) 

There are dollar limits about how much you can purchase.  And we can't purchase these bonds for you in your investment accounts.  Plus, there are some ownership caveats and other restrictions on buying I bonds.

If you have questions about I Bonds and whether these are right for your investment portfolio, please let us know.  Thank you again for having us be your financial advisor.