The 'T-bill and chill' trade is about to end for investors. Here's where JPMorgan says they should invest instead.

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• High yields on short-term government debt will come down when the Fed cuts rates.
• JPMorgan notes that the three-month rate will drop from 5.4% to 3.5% over the next 18 months.
• Investors should reposition into long-dated bonds and large-cap equities, the bank suggested.

High yields in the era of tigter Fed policy have popularized short-term government debt, but investors can't depend on the "T-bill and chill" strategy for much longer, JPMorgan said.