Best Rated For Money Market Funds
Money market funds are a kind of mutual funds that offer short term investment opportunities along with liquidity. These funds are taxable and offer a regular income opportunity. In fact, you can compare money market funds to money market accounts, short-term CDs or online savings accounts. |
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The fact that money market funds offer a 7-day yield make them extremely attractive for people who are looking to get the maximum benefit out of their investment in a short period of time. People, who fall in the high income tax category, often like money market funds due to their high yields.
There are many money market funds that you can invest in. However, finding the best rates for money market funds is imperative. Some of the money market funds with the best rates are Flex Funds Money Market with a 7-day yield of 0.35 percent, W and R Advisors with a 7-day yield of 0.33 percent, USAA Money Market Fund with a 7-day yield of 0.14 percent and Fidelity Select Money Market with an yield of 0.11 percent for 7 days.
Most money market funds invest in short term securities and this period is often less than hundred and eighty days. This is primarily to make sure that the liquidity of the shareholders' investment is maintained. The 7-day rate is quoted because there is no guarantee of what the rates will be in the future. However, it is important to note that there is no government insurance that protects the value of any money market fund.
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