Money market funds can be a smart choice for investors looking for a temporary place to store their short-term cash. Money market funds usually invest in highly liquid, low-risk securities. They can be a great way to keep your cash working for you either between larger investments or as part of your diversification strategy. Although there are many benefits to this investment vehicle, money market funds are not federally insured like bank money market accounts.
Your ROGO Capital financial consultant can help you choose from variety of money market funds (certain minimum investments may apply depending on your account type):
Taxable money market funds. Invest in taxable money market securities in an effort to earn maximum current returns with low capital risk.
Tax-free money market funds. Invest in short-term municipal securities to provide federal tax free income. (This income may be subject to state and local taxes and the alternative minimum tax.)
Government money market funds. Invest in securities issued or guaranteed by the U.S. Government, its agencies or government- sponsored enterprises. (This guarantee applies to the timely payment of principal and interest only and does not eliminate market risk. Fund shares are not guaranteed.)
Before you invest in a money market fund, you should know how it works. Your ROGO Capital financial consultant will provide you with a prospectus, which contains important information about the fund. You should read the prospectus carefully prior to investing and should carefully consider the investment objectives, risks, and charges and expenses of an investment company prior to investing. An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although money market funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Fund.