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Money market fund : Safest and most secure

A Money market fund, also known as principal stability funds, is a type of mutual fund that is required by law to invest in low-risk securities. These funds have relatively low risks compared to other mutual funds and pay dividends that generally reflect short-term interest rates.

Money market funds generally invest in

  • Government securities
  • Certificates of deposits
  • Commercial paper of companies
  • other highly liquid and low-risk securities.

Money market funds are generally the safest and most secure of mutual fund investments.

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