Lock In 5% Rates Now Before They're Gone? | Top MYGA Rates 2026

Some Treasury maturities are still hovering around 5%, despite having come down from their mid-month highs. And some multi-year guaranteed annuities (MYGAs) are still above 5% currently. Is now the time to lock them in? And how might the current US-Iranian conflict move yields in the coming weeks and months?

Transcript

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Longer dated treasuries are still hovering at just about 5%. Should you lock in now? Hello, Diamond Estec Members, Super Savers and Course fans. I hope you're healthy and well. So medium and long-term treasuries have had quite a roller coaster ride this month, with the 20 and 30 year Treasury yields hitting 5.19 and 5.18%, respectively, on May 19th, their highest levels since 2007, on fears of rising oil prices, inflation, and overall market uncertainty. And as a result, rates on medium and longer dated multi-year guaranteed annuities, MIGAs, for some of the highest-rated AAA insurance companies hit multi-year highs above the 5% mark as well, for the first time since we started talking about them on this channel last year. Remember, annuity rates generally track interest rates. Now, those elevated medium and long-term yields have come down a bit since then, with the 20-year closing out the month at 4.98%, and the 30-year at 4.99%. So a bit below 5%, and both yields are now just two basis points higher than where they started the month, as you can see here. And this against a backdrop of the SP 500 hitting another all-time high of 7,580 just today at the time of this taping on May 29th, 2026, on potentially more positive news that the US-Iranian tensions may be easing. So, a few of the safety conscious income-seeking investors and savers in our Diamond Neste community have started to wonder whether they might have missed an opportunity to lock in the yields while they were high. So with that in mind, here are the three topics I'll be covering today. One, how do we interpret the latest numbers? And could medium and longer term treasury yields go back up potentially? Two, where did treasury yields close out the week? And three, are multi-year guaranteed annuities MIGAs from the top-rated insurance companies still paying above 5%? The short answer is yes, depending on your time horizon and investment amount. Rates are still at very attractive levels at the current time, in our opinion. These two sections should provide some insights for those of you who are laddering treasuries and mygas in the base part of your portfolio for a safe, stable, and predictable income stream that hopefully lasts a lifetime. Let's dive in now, folks. How do we interpret the latest numbers? And could medium and longer-term treasury yields go back up potentially? As we've said often on the channel this month and in our VIP Investment Club, we think that the recent ups and downs in medium and long-term treasuries has really been driven by oil prices and their potential impact on inflation. And we've shared with everyone our three personal scenarios for where treasury yields may go, depending on how the current US-Iranian conflict may develop. Our first scenario is an uneasy and fragile standoff between the US and Iran. This would basically be a continuation of what we've seen since both countries agreed to a ceasefire in early April. This would keep the Strait of Hermuz basically closed for oil tankers, but there would be enough oil coming to market from alternative sources to prevent a full-blown energy scarcity. Oil would continue to hover around $100 per barrel, which would push inflation and long-term treasuries a bit higher in a one-off shock. But the Fed would not increase short-term rates and market yields would stabilize again, maybe a bit higher than now, once the global economy digested the new level for oil around $100. And we had said that if this is your scenario, the best approach might be to continue with your current strategy, but to keep your eyes open, both for changes in the direction of travel, but also for unexpected opportunities to maybe lock in an attractive yield here or there. Our second scenario is that the Strait of Hermuz reopens. This would be the best case scenario. Maybe the US and Iran come to an agreement, or maybe outside pressure and or military force prize the waterway open. In this case, oil would flow unhindered again to global markets, which might bring oil prices down again sharply in a short period of time. With oil cheaper, inflationary pressure would ease, long-term treasury yields would come down, and the Fed might even see some room to lower rates later this year. If you shared this optimistic outlook, you might have already locked in some attractive medium and long-term yields earlier this month, before they started their more recent descent. And our third scenario is one where everything breaks down. Fighting resumes, the Strait of Hermuz remains closed, and Iran manages somehow to disrupt the remaining two pipelines in Saudi Arabia and the United Arab Emirates that have a combined capacity to pump maybe 8.5 million barrels per day to ports outside the Gulf. This would be the worst case scenario. Oil prices would go up even more on global markets. Inflation would follow, the Fed would raise rates to keep inflation at least somewhat under control, and long-term treasury yields would keep going up. And if everything were to go badly, we might even end in a stagflation like back in the 1970s after the initial oil shock. If that's your scenario, you would avoid locking yourself into long-term treasuries, but rather stick with shorter maturities and or buy inflation-protective bonds such as tips and I bonds, in addition to real assets such as equities, real estate, precious metal, and commodities. From where things stand at the time of this taping on May 29th, 2026, and based on the back and forth between our country and Iran, it seems that we may be leaning towards scenarios one and two. We don't have a crystal ball here at Diamond Nest, unfortunately, and things could change on a dime. It wouldn't be the first time. But both sides appear ready for a scenario that is not scenario three, so not the one where everything breaks down. And the markets appear to think the same. Oil has come down from peaks around $97 per barrel on the Friday before Memorial Day weekend to about $88 per barrel at the close of market this past Friday. And as I mentioned towards the beginning of this video, medium and longer term treasury yields have come down a fair bit from their peaks earlier this month as well. And according to the CME Fed Watch tool, as of the close of business on Friday, May 29th, 2026, the market continues to expect with an almost 99% probability that the Fed will not change rates at the next FOMC meeting on June 17th, meaning that they will stay within the current range of 3.5 and 3.75%. And of course, and as our Diamond Nest regulars know, the Fed may not be the primary driver of long-term yields in the end. And as for me and Marcus personally, we have been orienting ourselves towards this first scenario for quite some time. A continuing uneasy and fragile standoff. Yes, our country and Iran have been close, some days more so than others, to a potential truce, but the fact remains that everything is far from certain. So, we haven't changed our overall strategy and continue to be heavily invested in equity markets. But we have also kept our eyes open and taken advantage of some of those higher treasury yields from earlier this month. As we shared with our VIP members, we picked up a good amount of 30-year treasuries mid-month at above 5%. In any case, that's our perspective. Drop a comment below and let me, Marcus, and everyone else know. Which of the three scenarios do you think is most likely? And have you picked up some medium and longer dated bonds or nudies earlier this month? Or are you now starting to wonder whether you should lock in the current rates even though they have come down a little bit? As always, if you want to continue comparing notes, sharing perspectives, and being the first to know about the best rates within a community of like-minded Diamond Nestic savers and investors, come on over and join our VIP Investment Club, where these conversations are happening every day. Visit our website at www.dimonnastic.com and click on this yellow private VIP Investment Club button to join us today. I've also linked everything below this video for your convenience. And let's move on now to the next part of today's discussion. Where did Treasury yields close out the week? So, for those of you who are laddering treasuries and multi-year guaranteed annuities, MIGAs, in the base part of your portfolio for a safe, stable, and predictable income stream that hopefully lasts a lifetime. Let's kick things off with Treasuries and take a look at Treasury yields from this past Friday across all the maturities that the Treasury issues at auction. This row shows where they closed out the week on May 29, 2026. This row here shows the increase or decrease in rates over the past week. And this row here shows the increase or decrease in rates since January 2nd, 2026. Increases in rates are shown in green and decreases in rates are shown in red. As we already discussed, this is the first time in two weeks that all yields for maturities, six months and longer, are in the red, and everything is now below 5%, although just slightly for the 20 and 30 year treasuries. There may still be at least two reasons to look at this as a glass is half full situation, if you want, and notwithstanding the ongoing uncertainty about the future outlook. First, we continue to have a normal yield curve for treasuries where longer maturities yield more than shorter maturities. Remember that a normal yield curve is usually interpreted as a bullish sign that the market expects economic growth and maybe a bit of inflation. And two, for diamonds, savers and investors, and especially those who are contemplating whether or not to lock in some of the current rates, yields for all treasuries two months and longer are still higher now than where they started the year, with the biggest jumps to be seen in the middle maturities. The two-year and three year are both up about 51 basis points, the five year is up 39 basis points, and the seven year is up 32 basis points. And as I mentioned towards the beginning of this video, while we can't see into the future here at Diamond Nest, the equity markets at least seem in an optimistic or maybe even bubbly mood with another record closing of the SP just today at the time of this taping on May 29th, 2026. Only time will tell though, markets can turn quickly if something happens, as we discussed before in our three scenarios for the US and Iran, and as we've seen firsthand this month. And if you're interested in continuing the conversations with me, Marcus, and our Diamond Nestec members on other safe ways to generate additional income in 2026 beyond what treasuries and annuities can pay, either via preferred shares, international bonds, high-yielding bond funds, and other investment vehicles. Come on over and join our VIP Investment Club. Visit our website at www.diamondnestec.com and click on this yellow Private VIP Investment Club button to learn more. I've also linked everything below this video for you. As always, keep in mind that these treasury numbers give you a general feeling for where rates currently stand along the maturity spectrum. The yields that you may get when you buy at a specific auction or from a specific broker or when you sell will likely differ from what's shown here, depending on when you're transacting. And let's move on now to the next part of today's discussion. For those of you who don't mind giving up on some liquidity for potentially higher yields than what treasuries can offer that are still safe. Are multi-year guaranteed annuities, mygas from the top-rated insurance companies, still paying above 5%? Here are some illustrative sample myga rates from an A versus an A plus insurance company that we work with. Remember that AAA is the best credit rating that an insurance company can get from AM BES, meaning the migas from the A insurance company that we're about to share with you are the lowest risk, making them the most comparable to Treasuries in terms of risk return profile. An A plus is the second best credit rating that an insurance company can get from AM Best. So still very safe in the overall big picture, generally speaking, but maybe not as safe as Treasuries, especially if you were to go above the protection limits of your State Guarantee Association. In this top section, we'll go through what the numbers look like for an A double plus insurance company. And in this bottom section, we'll go through what the numbers look like for an A plus insurance company. Here you have the investment amount required, and here you have the guaranteed myga term from two year all the way up to seven year for the A plus insurance company, and for a three-year myga, five-year myga, and a seven-year myga for the A plus insurance company. For this A double plus insurance company, rates on the two-year myga are the same as last week. Rates on the three-year and four-year migas are still at good levels, but nonetheless down by about 15 basis points. And rates on the five-year, six-year, and seven-year migas are down by about five basis points. But the good news is you can still get slightly above five percent here with a minimum investment of $100,000. So, for example, if you were to purchase a $100,000 five-year or six-year myga at the time of this taping from this A carrier, your rate might be 5.05%. A $100,000 seven-year myga might earn you 5.1%, and a $1 million seven-year myga might earn you even 5.15%. And if you have more than the amounts shown here, say north of $10 million, your rate might go as high as 5.25% with this A double plus insurance carrier this coming week. As always, keep in mind that the myga rates in this table are illustrative and subject to change at any time without prior notice, and that your personal rate is not fixed before you sign your annuity contract. For the A plus insurance carrier, the three-year myga has moved up 10 basis points recently, and the five-year and seven-year mgas have moved up 20 basis points. So with $100,000, you may now be able to get to 5.1% with a three-year mica, 5.4% with a five-year mica, and even 5.5% with a seven-year myga. Higher risk, higher return, right? But as I always say, everyone's financial journey is different, and an A plus rated insurance company is still the second best credit rating that an insurance company can get from AM Best, as I mentioned earlier. Always stay under your State Guarantee Association's threshold. And don't forget that Migas are generally not liquid and don't pay regular interest. So if any of these rates are interesting to you, or if you want to see what your myga options might look like whenever you're watching this video, email us at jennifordiamonestic.com so that we can connect you with our trusted annuity specialist who can help you find the best annuity that's out there for you. Alright, Diamond Estec members, Super Savers and Course fans, I hope you enjoyed today's video and learned something new. And see you again very, very soon with more brand new wealth building content for your financial journey.