uTrade AlgosT-bills fit into a diversified portfolio as a low-risk, short-term asset that provides liquidity and stability. You can use them in different ways depending on your investment goals:
Where T-bills Fit in Your Portfolio
Emergency Fund Allocation: If you want a safe place to park cash with better security than a savings account, T-bills can be a great option.
Capital Management Tool: If you’re waiting for a safe and secure investment opportunity, T-bills keep your excess funds accessible.
Risk Balancer: If your portfolio is heavy on stocks or other volatile assets, T-bills provide a cushion against market swings.
Short-Term Goals: If you need funds in the near future (within a few months to a year), T-bills offer a safe place to store them.
Fixed-Income Component: For those looking to balance risk, T-bills can act as the most stable part of the fixed-income portion of a portfolio.
Why Include T-bills?
Preservation of capital: They help protect your money from market downturns.
Liquidity: Easy to buy and sell, making them ideal for short-term needs.
Diversification: They lower overall portfolio risk when paired with higher-risk investments.
T-bills serve as a solid foundation for financial stability within a diversified portfolio. If you are looking to invest in T-bills through Share India, refer to this link.