Often pay significantly more than traditional bank savings.
Unlike bank accounts, these aren't government-guaranteed; you could lose money, though it's rare. money market funds
Returns may not keep up with rising costs of living over the long term. Often pay significantly more than traditional bank savings
A money market fund is a type of that invests in high-quality, short-term debt instruments. Unlike bank accounts, these are investment products typically held in a brokerage account. these aren't government-guaranteed
They buy "boring but safe" assets like U.S. Treasury bills , certificates of deposit (CDs), and commercial paper (short-term corporate loans).
The price doesn't go up like a stock; you only earn the interest. Common Types of Funds What are money market funds? | BlackRock