I have to fund capital calls (in EUR) bi-anually as part of my co-invest program at my PE firm. I can use cash at hand, sell stock, lend against my stock portfolio short term or use cash parked in T-bills. My preference would be T-Bills as it has a higher yield than cash without the potential valuation swings of the stock portfolio.
Many of my US peers park their liquid cash in T-Bills or ladder them (e.g. re-invest every 3 month in the updated tbill).
Is the return tax free in CH on maturity given the T-Bill is issued at below par and repaid at par (no interest) or in case of a sale before maturity?
Hedging isn’t worth the hassle - currency exposure remains, however USD / CHF / EUR can go either way - thoughts?
What is your stance on US T-Bills for short term cash bridging and do you have better alternatives?