I was going to start setting up a ladder of 4-week T-Bills starting with this week's auction, but Fidelity is not accepting orders for the 4 week T-Bill this week. Just got off the phone with the Fidelity fixed income team. There is a 33 day Cash Management Bill being offered this week (auction on Wednesday, settlement on Thursday) which is using the same CUSIP (912797NJ2) as the 4-week T-Bill that has the normal schedule (auction on Thursday, settlement next Tuesday). For whatever reason, Fidelity is only offering the opportunity to place a bid for the cash management bill, and this is not eligible for auto-roll. I didn't encounter this problem with the T-Bill ladder that I set up last year, so not sure how common this is? (Maybe this is part of the "extraordinary measures" that the Treasury department is taking now?)
Also makes me wonder: what would happen if I had a 4-week T-Bill maturing and this week is when auto-roll would automatically place an order for the replacement T-Bill -- seems like this would break a ladder since Fidelity isn't accepting orders/bids for the regular 4-week T-Bill auction this week?
Also makes me wonder: what would happen if I had a 4-week T-Bill maturing and this week is when auto-roll would automatically place an order for the replacement T-Bill -- seems like this would break a ladder since Fidelity isn't accepting orders/bids for the regular 4-week T-Bill auction this week?
Statistics: Posted by w5000 — Tue Jan 21, 2025 2:58 pm — Replies 2 — Views 410