What Is a Tax-Exempt Money Market Fund?
Tax-exempt currency funds are funds that some money market funds also provide customers with the convenience of using checking accounts.
Tax-exempt money fund
Right!
- Chinese name
- Tax-exempt money fund
- Application area
- financial
- Subject
- economics
- Investment term
- 30 90 days
- Tax-exempt currency funds are funds that some money market funds also provide customers with the convenience of using checking accounts.
- Tax-free money funds invest in U.S. municipal securities with a maturity of only 30 to 90 days. Interest income earned is exempt from federal income tax, but is subject to state or local taxes [1] .
- It is a new type of money market fund. The tax-free currency fund combines the characteristics of a money market fund and a municipal bond fund. It has both the stability of the former and tax-free preferential treatment of the latter. It specializes in investing in government bonds or various short-term municipal bonds that are about to expire [2] .