Core Insights - The article discusses a financial advisor's strategy of using a certificate of deposit (CD) ladder for a young client who inherited $50,000, emphasizing the importance of safety and flexibility in investment choices for young investors [1][10]. Investment Strategy - The advisor created a CD ladder with four bank CDs, each funded with approximately $12,000, maturing quarterly over one year, allowing the client to access cash systematically [2][10]. - Laddering involves dividing cash into equal parts and investing in assets with varying maturity dates, providing guaranteed income and flexibility for short-term goals [5][10]. Market Context - The strategy is particularly appealing in a high-interest-rate environment, with current yields on Treasuries and CDs exceeding 3% and sometimes reaching over 4% [6][10]. - Laddering can help diversify a portfolio and provide safety amid economic uncertainty, especially when equities are trading at high valuations [6][11]. Target Audience - The article highlights that laddering is suitable for young investors with specific financial goals, such as saving for a home or car, who prefer to avoid equity-like volatility [7][9]. - Financial advisors recommend laddering for clients who have upcoming large purchases but are uncertain about the timing, as it offers both yield and flexibility [8][9].