In a diversified portfolio, Treasury bills -- a short-term security backed by the U.S. Treasury Department with a maturity of one year or less -- have been considered an afterthought over the past decade due to low yields. However, as interest rates have climbed, so have Treasury bills, which currently yield in the neighborhood of 4.5% to 5%.

Warren Buffett, the legendary investor and CEO of Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B), holds nearly $95 billion of Berkshire's assets in Treasuries as of Dec. 31, 2022.

Here's a look at how to buy Treasury bills and why the Oracle of Omaha is scooping them up hand over fist.

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Source Fool.com