Once the U.S. government defaults on its debt, the risk faced by the money fund is much higher than it is now. At present, many US money funds hold US$ 684 billion in US Treasury bonds. Once the US government defaults, the IMF will be required to sell these securities in an orderly manner. Default may also push rating agencies to downgrade US government debt to a level below which funds are allowed to invest. If this happens, the fund will have to sell the national debt they hold unless the board of directors of the fund votes to continue holding it. Such great selling pressure will lead to the decrease of the value of the money fund, prompting investors to redeem it and making the situation worse. At present, the possibility of default by the US government is very low, but if Congress fails to propose effective measures, the risk will increase day by day.

For money market funds in China, the impact will be much smaller. There is no need to panic. Generally, it has no effect, but it also depends on the currency variety. The specific investment content of the fund can be found on the website of the money fund you purchased. I suggest not buying it in the near future. It's not too late to buy it when the situation is clear after August 2. Money funds are free of subscription and redemption fees, so don't worry. Of course, if you have already bought it, you still have to check it. If the number of bonds held by the change fund is small and mostly domestic, you can buy them with confidence.