{"id":6072,"date":"2023-01-16T16:51:39","date_gmt":"2023-01-16T16:51:39","guid":{"rendered":"https:\/\/www.rubinwealthadvisors.com\/rubinreport\/?p=6072"},"modified":"2025-05-16T12:20:07","modified_gmt":"2025-05-16T12:20:07","slug":"savings-bond","status":"publish","type":"post","link":"https:\/\/www.rubinwealthadvisors.com\/rubinreport\/savings-bond\/","title":{"rendered":"Protect Your Portfolio from Inflation: The Series I Savings Bond – A Safe Haven for Conservative Investors"},"content":{"rendered":"\t\t
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It is going to take a bit longer for the Biden administration to realize that inflation may not be\u00a0transitory and that it may not have peaked. Denial will not make inflation go away!<\/p>

But while Uncle Joe may take a bit longer to realize that inflation is pulling the rug out from\u00a0under our investments, I\u2019m urging my clients to take action today!<\/p>

While I\u2019m recommending several asset classes that can help your portfolio during inflationary\u00a0periods, there is one investment I\u2019m recommending you purchase while it\u2019s available in 2023:<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t

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THE SERIES I SAVINGS BOND<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t
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You might\u2019ve just laughed, so why the Series I Savings Bonds?<\/strong><\/p>

The Series I Savings Bond is issued by the U.S. Department of the Treasury. They are\u00a0inflation-protected and nearly risk-free investments that, through April 2023, are paying\u00a0a 6.89% annual rate of interest.<\/p>

6.89% interest risk-free? What\u2019s the catch?<\/strong><\/p>

The catch is that there are two parts to a Series I Savings Bond\u2019s returns: a fixed rate and a variable rate. The variable rate changes every six months based on the\u00a0Consumer Price Index.<\/p>

This means that the bondholders may have rate changes twice a year.
The value of a Series I Savings Bond doesn\u2019t decline, and rates won\u2019t drop below zero.<\/p>

If inflation continues that rate may go up even further, so they make a great investment\u00a0if you believe inflation is with us for the long-term.<\/p>

I mention long-term because Series I Savings Bond investors can\u2019t access the funds for\u00a012 months, and if they redeem the bond within the first five years, they lose the last\u00a0three months of interest.<\/p>

How many of these bonds can I purchase?<\/strong><\/p>

One of the limitations of the Series I Savings Bond is that individual investors can\u2019t buy\u00a0more than $10,000 per year.<\/p>

But there is a workaround \u2013 couples can purchase $10,000 each and a family of four\u00a0can purchase up to $40,000 a year as long as they are in each individual\u2019s name.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t

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