Money market funds have become one of the most popular ways of saving money, and for good reasons. First off, they provide higher returns than bank deposits yet the level of risk involved is believed to be just as low as the risk involved in bank deposits. However, the returns they provide are relatively low compared to more risky investments such as stocks and long-term debt. The risk inherent in money market funds is low because the funds are highly liquid as the securities invested mature in a few months.
The securities invested include short-term bonds, such as treasury bills, repurchase agreements, and commercial paper among others. Both individuals and corporations can have money market fund shares, and these can be purchased through brokerage firms, mutual funds, and even banks. Bruce Bent II is the brilliant mind that invented the first money market fund in the world in 1970.
Money market funds ensure that investors receive, at the very least, the amount of money they invested. This prevents them from losing their money. Money market funds are now used all over the world.
Anyone seeking higher returns on their savings without taking on too much risk should consider purchasing money market fund shares. For more than 4 decades they have been in use, they have proven to be one of the safest investments an investor can make.
About Bruce Bent II
Bruce Bent II is a successful businessman based in the U.S. His father was the founder of the first money market fund called the Reserve Fund. Bruce Bent II has a in-depth knowledge and experience with money market funds from his father and his financial career.
Bent II attended Northeastern University where he graduated with his Bachelor’s degree in Philosophy. He followed his father into the financial sector where he has become quite successful. He currently is the Vice Chairman and President of Double Rock Corporation. He has help many companies with creative solutions.
Bruce Bent II has surely made a great contributions to the global finance industry.