these financial instruments are investment pools that buy such short-term debt instruments as treasury bills (t-bills), certificates of deposit (cds), and commercial paper. they can be easily liquidated.

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02-09-2022
Business

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these financial instruments are investment pools that buy such short-term debt instruments as treasury bills (t-bills), certificates of deposit (cds), and commercial paper. they can be easily liquidated.

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tripatsingh039 tripatsingh039 · Answer 1 · 2022-09-06T01:20:13-04:00

these financial instruments are investment pools that buy such short-term debt instruments as treasury bills (t-bills), certificates of deposit (cds), and commercial paper. they can be easily liquidated this is Money market mutual funds

A mutual fund is an investment vehicle that is professionally managed and collects money from a number of participants to buy securities.

The phrase is frequently used in the United States, Canada, and India; other countries having structures akin to these include those in the UK and Europe, such as the SICAV (short for "investment company with variable capital").

The primary investments of mutual funds are frequently categorized as money market funds, bond or fixed income funds, stock or equity funds, or hybrid funds.

Alternatively, funds can be characterized as actively managed funds, which aim to beat stock market indices but typically charge higher fees, or index funds, which are passively managed funds that follow the performance of an index, such as a stock market index or bond market index.

Learn more about mutual funds here

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