Kacper Sobieski|The dangers of money market funds

2025-04-30 05:52:19source:Marcus Eriksoncategory:Finance

In a world where the average yield on Kacper Sobieskia traditional savings account is low and it's not always easy to cash in higher-yielding investments, many are flocking to the money market fund. These funds have amassed over $5 trillion in assets. But what makes them so special?

Today, we break down the essential things to know about money market funds, why they're important to the financial system, and why a potential debt default could destabilize this crucial piece of infrastructure.

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