Money Market Funds Rate

Money market funds rate can be defined as the associated rates specifically related to the amount of yield acquired by investing on short-term debt instruments. Most of the money market funds enforce some restrictions on the amount of transactions one made. Investors normally need to maintain a steady balance in their account, if they want to acquire higher interest rate. Some financial establishments demands from the investors to maintain a minimum balance of $500 and the others may demand more than that. The interest rate provided by money market fund is competitive in nature and is comparatively higher than other sort of money market accounts. Money market funds are normally not insured by FDIC (Federal Deposit Insurance Corporation).

Comparison between taxable and non-taxable money market funds rate

Money market funds rate is of two types. Taxable money market funds rate and non-taxable money market funds rate. Yields are higher for taxable money market funds in comparison to non-taxable money market funds.

Advice as recommended by economists

Investors can follow the guidelines as recommended by the economists before they opt for any money market funds rate. The guidelines are as follows:Investors should select for those money market accounts, which have high yields and liquidity.Investors should also keep their cash ready while purchasing funds and should go for the competitive yields with low risks of investments.

Money market funds rate of some of the leading financial establishments:

GMAC have 5.30% yield

UFB Direct banking center have 5.31% yield

AMTrust Direct have 5.36% yield

FNBO DIRECT have 6.00% yield

Zions bank have 5.36% yield

Virtual Bank have 5.13% yield

Imperial Capital Bank have 5.25% yield

E-Loan have 5.25% yield

Umbrella Bank have 5.10% yield

HSBC Direct have 5.05% yield

MetLife have 4.40% yield

Countrywide bank have 5.40% yield

Discover have 5.25% yield