InvestorQ : What is Money market Fund?
simran Kaur made post

What is Money market Fund?

Anushri Vasa answered.
4 years ago
Money market refers to the market wherein financial instruments with a maturity of less than a year is traded. These instruments have maturity ranging from a fortnight to one year and used to fulfill the short-term fund requirements. Commercial papers, commercial bills, and treasury bills certificate of deposit are some of the money market instruments.
Mutual Fund that invests in money market instruments is referred as MOney market Funds. Though Money market instruments are quite liquid with a maturity of one day also, the Money market Funds have a minimum lock-in period of 15 days. Initially, Money market fund was regulated by RBI but now it comes under the purview of SEBI.