Despite declining inflation rates which have led to a drop in rates of most money market instruments, many analysts recommend Money Market Funds as a good buy for investors.
Currently, the Money Market Fund has an average yield of 20.36 percent.
Mutual funds are created with the intent of pooling funds from various investors who are willing to diversify their holdings. For a Money Market Fund, the pooled funds are invested in short-term high-quality debt instruments such as Treasury Bills, Commercial Papers, Certificates of Deposits, etc.