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The Curious Bag
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The money market is a market where short-range finances with high liquidity are traded. Many individuals use the money market as a safe haven to store interim funds
Money Instruments
Some money market instruments include banker acceptances, treasury bills, commercial paper, federal funds, municipal notes, repurchase agreements (repos) and certificates of deposits (CDs).
Common Charateristics
All money market instruments have maturities of one year or less, or sometimes 30 days or less.
Location
Money market trading isn't confined to one permanent physical location. On the contrary, trading occurs in large financial institutions.
Risks
Money market returns are extremely low and pose little to no risk. Moreover, it's considered the safest among all investments. Usually, investors look for low-risk investments to keep their original capital. The main objective of a low-risk investment is to safeguard the investors' money.
Money Market Fund
A money market fund is simply a mutual fund which invests in short-term market instruments. Usually, a mutual fund uses a variety of different instruments providing an even larger safety cushion.
Source:
Resource:
Money Market Tutorial
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