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What is money market

The money market is a subsection of the fixed income market. We may think of the term fixed income as being synonymous to bonds. but  a bond is just one type of fixed income security. The main difference between the money market and the bond market is that the money market specializes in very short-term debt secu.  Money market investments are also called cash investments because of their short maturities. Money market securities are essentially IOUs issued by governments, financial institutions and large corporations. These instruments are very liquid and considered extraordinarily safe. Because they are extremely conservative, money market securities offer significantly lower returns than most other securities. One of the main differences between the money market and the stock market is that most money market securities trade in very high denominations. This limits access for the individual investor. Furthermore, the money market is a dealer market, which means that firms buy an