Money Market Funds
A Money Market Fund is a mutual fund in which investments are concentrated on short-term high-yield money market instruments such as government securities, certificates of deposit, commercial paper, or tax-free short term notes. Both taxable and tax-free money market funds are available.
Money Market Funds carry no commission on purchase or sale and may be liquidated at any time without penalty.
Interest is paid and adjusted daily and will normally parallel current short-term interest rates.
Because Money Market Funds are liquid investments and offer a high degree of safety and highly competitive interest rates, they are ideal in times of rising interest rates and for investing cash at competitive interest rates while considering other investments.
Suggested Links for Additional Information on Money Market Funds