Are you getting the best rate from your broker?
Compare your broker's rates now to find out if you can save money

Choose your broker below
Welcome to Dividend.com. Please help us personalize your experience.

Select the one that best describes you
Dividend logo

Given the dismal state of interest rates, they haven’t been thought of as an asset class for years. But money market funds are still an important part of the investing ecosystem – and a big change is coming to the funds effective October 14.

On that date, the pricing of money market funds will change.

Fictional Pricing

Until now, all money market funds have been priced at $1 a share. In a sense, it was a convenient fiction. Since money market funds are simply mutual funds that invest in short-term, very liquid money market instruments, including Treasury bills and commercial paper (short-term corporate IOUs), the net asset value (NAV) of the fund can fluctuate, depending on the value of the underlying securities.

To read the Full Story, Go Premium or Log In

Popular Articles

Premium Trade%20war
News

The Market Wrap for September 20: Trade Continues to Ease

With economic data being relatively good and the earnings season pretty much over, traders have...

Dividend Investing Ideas Center

Dividend History of the Consumer Staples Sector

Consumer staples have long been regarded as an essential component of any well diversified...

Premium Volatile%20markets
News

Are We Slipping Into the Abyss? The Markets Think So

Investors are certainly facing an interesting paradox these days.

Economic conditions are some of...