Info

money market. The maturity of short-term financial assets that trade in the money market is one year or less.

Most large firms manage their own short-term financial assets, carrying out transactions through banks and dealers. Some large firms and many small firms use money market mutual funds. These are funds that invest in short-term financial assets for a management fee. The management fee is compensation for the professional expertise and diversification provided by the fund manager.

Among the many money market mutual funds, some specialize in corporate customers. In addition, banks offer arrangements in which the bank takes all excess available funds at the close of each business day and invests them for the firm.

Lessons From The Intelligent Investor

Lessons From The Intelligent Investor

If you're like a lot of people watching the recession unfold, you have likely started to look at your finances under a microscope. Perhaps you have started saving the annual savings rate by people has started to recover a bit.

Get My Free Ebook


Post a comment