Invest In Money Market Funds?

Unfortunately money market mutual funds are barely earning any return. They are short term cash investments; however, they are not FDIC insured. Consider the following for safer places to put your money which may offer higher yields.

• Regular Savings Account – You have immediate access to your funds and they are FDIC insured. The interest rates are low but are probably better than a money market fund.

• Certificate of Deposit – Bank CDs are FDIC insured and can mature in one month to five years.. A longer maturity period means a higher rate of return. It’s best to keep the maturity short in case rates rise.

• Guaranty Savings Annuity – Consider a savings or deferred annuity if you money market funds held in retirement accounts. Interest rates can be fixed or floating. I suggest you look into all aspects of an annuity carefully.

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