What Are Money Market Mutual Funds in India?
Money Market Mutual Funds (MMMFs) in India are short-term investment vehicles that invest in high-quality, liquid instruments like Treasury bills, commercial papers, and certificates of deposit. These funds offer stability, liquidity, and moderate returns, making them ideal for conservative investors looking for low-risk options. Key benefits include capital preservation, easy liquidity, and relatively safer returns compared to equities. MMMFs are suitable for those seeking short-term parking of funds with minimal risk exposure while still earning better returns than a savings account.
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