Quick Read
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BIL moved just 0.32% last month and returned 3.67% over the past year, making it the steadiest alternative to selling stocks for your RMD.
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RMD amounts are set by the prior year-end IRA value, so a current-year market drop doesn't reduce what you must withdraw.
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MINT returned 4.19% over the past year, making it the best performer of the three funds, but it carries credit risk because it holds short-maturity corporate bonds.
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You're 75, most of your IRA is in stocks, and the market has fallen. Your required minimum distribution still has to come out before year-end, and the easy way to get that cash is to sell shares at a low price. Three funds give you something else to sell: the State Street SPDR Bloomberg 1-3 Month T-Bill ETF (NYSEARCA:BIL), the Schwab Short-Term U.S. Treasury ETF (NYSEARCA:SCHO), and the PIMCO Enhanced Short Maturity Active ETF (NYSEARCA:MINT). All three hold near-term debt that has stayed far steadier than stocks.
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