Money Market Fund
Definition
- Money market funds are open-end mutual funds that are invested in low-risk, liquid short-term debt securities and monetary instruments such as commercial paper, treasury bills or short-term mortgage- and asset-backed securities. Money market funds, also known as "money market mutual funds," strive to sustain a net asset value of $1 per share.
Synonyms
money market mutual fund
Acronyms
MMF
Related Terms and Acronyms
- Indexed Annuity — Definition,
- An annuity where investment performance is pegged to a stock index.
- Money Market Account (MMA) — Acronym,
- A bank account that restricts the type and number of withdrawals. The account also earns interest similar to money market funds.
- Money Market Mutual Fund (MMMF) — Acronym,
- A mutual fund that invests in short-term debt instruments such as Treasury bills, commercial paper, and large CDs. Also referred to as money market fund (MMF).
- Parking (prk) — Abbreviation,
- A term that refers to depositing cash in a high-yield money market account until it is transferred to another account to pay bills.
- Protected Fund — Definition,
- A mutual fund that guarantees investors a return on their investments.
- Segregated Fund — Definition,
- Investment vehicles that feature both maturity and death guarantees. Segregated funds share similarities with mutual funds but are categorized as insurance products.
