best cd ladder for rising interest rates

This provides a higher interest rate than a high-yield savings account, with some of the redemption flexibility. What is a CD ladder?Ī CD ladder is a savings strategy that involves investing your money across multiple certificates of deposit (CDs) with staggered maturity dates. This guide covers everything you need to know about CD ladders, including how to build one, the pros and cons, and where to find the best CDs. CDs are a low-risk investment, as they're generally FDIC-insured and offer a predictable return. By staggering maturity dates, you’ll benefit from higher interest rates than a high-yield savings account, with a comparable redemption flexibility. Many have turned to laddering certificates of deposit (CDs), but is the strategy right for you?ĬD laddering involves parking money across various CDs of different term lengths. This has led some investors to research low-risk strategies to park cash until markets provide more clarity. Uncertain economic conditions and rising interest rates have fuelled complexity. You're not alone if investing feels like a puzzle lately. Please be aware that some (or all) products and services linked in this article are from our sponsors. We adhere to strict standards of editorial integrity to help you make decisions with confidence.

Best cd ladder for rising interest rates