FRNs reset their coupon rate weekly based on the most recent 90-day T-bill auction, with the index USFR tracks rebalanced on the last business day of each month. Whichever rate the Fed decides will bring inflation down enough to meet its standards, a short-term bond ETF as categorized by VettaFi, like the WisdomTree Floating Rate Treasury Fund (USFR), should be on investors’ shortlists in the weeks ahead. USFR goes for FRNs with a two-year term, with an issue date on or before the index rebalancing date.