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A Money Market Mutual Fund is not a very liquid account from a saver's perspective a. True b. False

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A Money Market Mutual Fund is not a very liquid account from a saver's perspective
a. True
b. False

A Money Market Mutual Fund is not a very liquid account from a saver's perspective a. True b. False

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HudsonElite · Tutor for 8 years

Answer

b. False

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A Money Market Mutual Fund (MMMF) is designed to be a low-risk investment that offers high liquidity and pays higher interest than a regular savings account. These funds typically invest in short-term, high-quality investments issued by government or corporate entities. Unlike certain savings accounts or investments with longer-term commitments, an MMMF allows easy access to funds. Hence, from a saver’s perspective, it qualifies as a liquid account since it provides fairly rapid access to money.
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