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Strategies & Market Trends : Ultra OTC Fund - UOPIX
UOPIX 143.01-1.1%Dec 15 4:00 PM EST

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To: bob wallace who wrote (1009)12/20/2000 3:28:47 PM
From: OldAIMGuy  Read Replies (2) of 2063
 
Hi Bob, Usually st bond funds give a slight improvement on yield over mmf's.

Biggest problem is the less steady price/share. However, there's better and faster correlation with interest rates with a st bond fund. They fall off a bit with rising rates and visa versa.

Strong's st bond fund (STADX) has a ytd return of 6.49% compared to their money market fund (SMNXX) with ytd return of 5.72%. When holding relatively large cash reserves, this can make for a nice improvement on total return. But there's more risk that goes along with it.

Best regards, Tom
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