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A money market fund (also called a money market mutual fund) is an open-end mutual fund that invests in short-term debt securities such as US Treasury bills and commercial paper. [1] Money market funds are managed with the goal of maintaining a highly stable asset value through liquid investments, while paying income to investors in the form of ...
How money market funds work. Money market funds are regulated by the Securities and Exchange Commission, or the SEC, and are required to invest in short-term debt securities, such as certificates ...
How Money Market Funds Work. ... Despite this rescue, money market mutual funds do not typically benefit from insurance guarantees or government intervention. So, what is the point of a money ...
How does a money market fund work? Money market funds, also referred to as money market mutual funds, are not federally insured. However, these are still relatively safe liquid investments ...
The money market is a component of the economy that provides short-term funds. The money market deals in short-term loans, generally for a period of a year or less. As short-term securities became a commodity, the money market became a component of the financial market for assets involved in short-term borrowing, lending, buying and selling with original maturities of one year or less.
A money-market fund (MMF), meanwhile, is a type of ultra low-risk mutual fund that doesn't come with FDIC protection. MMFs consist of relatively safe assets like short-term debt securities.
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