<p>We have some money that is being set aside for retirement that we’d like to put somewhere safe. I have no idea where to start, other than a CD, and their rates are pitiful right now. I also hate to get one for five years (in order to get the higher rate), knowing the rates will likely increase in those five years, and we will be stuck.</p>
<p>How much do you have to invest? Is it inside or outside a retirement account? If inside, consider the Treasury Inflation Protected Securities. If outside a retirement account, consider the Savings Bonds equivalent.</p>
<p>you can get cd rates at [Compare</a> Mortgage Rates | CD Rates | Credit Cards Home Equity Loans Mortgages Best Rate Calculator Bankrate.com](<a href=“http://www.bankrate.com%5DCompare”>http://www.bankrate.com)</p>
<p>You can park money short term in a treasury bill (3-6 monthish), that would probably be better than a lot of savings accounts.</p>
<p>Where do you actually go to open a TBill?</p>
<p>you can buy them from treasury direct over the internet</p>
<p>rates are typically somewhat lower then CD’s, but then treasury interest is also exempt from state & local income tax, and usually 1 or 3 month CD’s pay low interest anyway.</p>
<p>I have a totally liquid money market account through Capital One that I like. The interest rate is at 1.57% but I like the fact that it is liquid. You can probably get a better rate through a TBill or CD but it does tie the money up a bit more.</p>
<p>I put a bunch of cash in a Canadian energy trust. Current yield is 12.6% but you do have principle and dividend risk. I also have lots of money in MM accounts earning next to nothing. I have a lot of stock market gains this year offsetting lousy fixed interest returns.</p>
<p>We had two renewal rates from Australian banks. They paid 8.3% last year and the renewal rates are at 1.5% and 4% for two of the banks. Yields just generally stink and I think that many are going to be flushed into higher-risk instruments.</p>
<p>Citibank has an 18-month CD for 2.30%</p>