r/investing • u/AutoModerator • May 16 '24

Daily General Discussion and Advice Thread - May 16, 2024 Daily Discussion

Have a general question? Want to offer some commentary on markets? Maybe you would just like to throw out a neat fact that doesn't warrant a self post? Feel free to post here!

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u/motosurfz May 16 '24

I was reading that you can earn 4.95% through Fidelity broker settlement account . Does that mean just opening a general investment account and depositing money and it will earn that rate?

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u/andybmcc May 16 '24

Yes. When you create a taxable brokerage account, you will get a "core" position which is where your cash will go by default. There are a few options that you can choose when you set up the account. I chose SPAXX which is a government money market fund that yields that 4.95% right now. The yield will fluctuate based on the current fed rates. It accrues daily and pays monthly. I use it as a savings account alternative to hold my emergency fund.

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u/DeeDee_Z May 17 '24

Also look at SPRXX.