Money fund, namely "money market fund", is an investment fund that invests in short-term securities in the money market. It has the characteristics of low risk, good liquidity and stable income. The long-term yield of money market funds is low, which is not suitable for long-term investment.

The financial instruments that China's money market funds can invest in include cash, bank time deposits within 1 year (including 1 year), certificates of deposit, bond repurchases, central bank bills, bonds with remaining maturity within 397 days (including 397 days), asset-backed securities and other varieties with high safety factor and stable income.

Money market funds are natural havens for enterprises and individuals. Under normal circumstances, you can get higher income than the interest on bank deposits, but the money fund can't guarantee the safety of the principal.