When interest rates are rising, a person would be best served by

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When interest rates are rising, the best choice is short-term savings instruments such as savings accounts, money market accounts, and short-term CDs. These instruments allow the investor to take advantage of higher rates as they mature and can reinvest at a higher rate. Long-term savings instruments like long-term CD, bonds, and fixed annuities lock in a lower rate for a longer period of time. Variable-rate loans are also not suitable as the interest rates they charge would likely increase with a rising interest rate environment, leading to higher payments. Short-term loans can be helpful if you need to borrow money, but the rates can fluctuate with the market and may become more expensive if rates rise. Therefore, the best choice is short-term savings instruments.

When Interest Rates Are Rising, a Person Would Be Best