Better returns than bank CDs: 3 ETFs that outperform low CD rates amid Fed cuts

As the Federal Reserve holds rates low, average 12-month CD yields have dropped to around 1.52%, barely above the national average of 1.68%. Investors renewing CDs might consider three ETFs as alternatives: SGOV (short-term Treasury bills) offers about 3.84% return with low risk; VCSH (short-term corporate bonds) yields around 3.59% with modest risk; and DGRO (dividend growth stocks) provides potential for long-term growth with a 24.99% return over the past year. These ETFs are not FDIC insured and carry varying risks, but they can offer better returns and flexibility compared to traditional CDs in the current low-rate environment.