Q: Currently all my money market funds are in PSA which pays just over 4%.
It looks like ZUCM.U may be a US dollar alternative paying just over 5% .
It feels like a no brainer to move all my PSA into ZUCM.U but I would like your opinion.
It looks like ZUCM.U may be a US dollar alternative paying just over 5% .
It feels like a no brainer to move all my PSA into ZUCM.U but I would like your opinion.
5i Research Answer:
We show indicated yield now at 4.20%. As a short term fixed income fund, its yields will also decline with US interest rates. We think it is a decent fund, though relatively small. Moving 'all' of one's money does of course incur currency risk. While we think the US dollar should remain strong, we could of course be very wrong. We would prefer a bit of both if one has substantial liquid assets.