Top Money Market Funds
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
Top money market funds should comprise of some basic qualities like low risks, high liquidity, and competitive yields. High liquidity means that the investors can withdraw their money within a short notice period of time and they will not be penalized for withdrawing their money from their funds.
Top money market funds are basically a type of mutual fund that invests in cash equivalent items like treasury bills, debt securities, banks etc. Top money market funds can be defined as the safe and convenient type of mutual funds.
Top money market funds are classified as taxable and nontaxable funds.
Characteristics of top money market funds:
All top money market funds normally comprise of some basic characteristics like competitive rates high liquidity, and low risks.
- Highly competitive yields: Top money market funds should return a minimum of 4 to 6 percent a year. The interests are calculated at daily basis and are normally paid at the end of a month.
- High liquidity: High liquidity is defined as the ability to take out money within a short notice period. And no charge will be levied if the investors withdraw their money from their funds.
- Low risk: Top money market funds are safe, as these hold very low risks.
Top money market funds differ each other by the qualities of factors like risk, liquidity and yields. Top money market funds charge below or equal to 0.25 percent annually. Money market fund establishments with a consistent low expenses on their money funds are rated as top money market funds.
Advice by economists
When investors go for selecting the best from the top money market funds, they should look into these following matters:
- Convenience: It can be said as one of the prime factors while choosing the best from the top money market funds. Convenience comprise of less paperworks, easy access of money and easy procedure.
- Local branch facility: Investors should look for the nearest branch location of the money market establishment, so that they can comfortably manage their funds.
Some leading money market funds establishments
Some of the top money market funds are:
- Managed Shares Scudder Investor Services, Inc. with yield of 1.65%
- ABN AMRO Funds with yield of 1.19%
- TIAA-CREF Mutual funds with yield of 1.14%
- Vanguard Group with yield of 1.12%
- Scudder Investments with yield of 1.1%
- Fidelity Funds with yield of 1.09%
- Strong Investments with yield of 1.07%
