Current location - Trademark Inquiry Complete Network - Tian Tian Fund - What's the difference between bond funds and money market funds?
What's the difference between bond funds and money market funds?
Bond fund refers to a fund that specializes in investing in bonds. By pooling the funds of many investors, it makes portfolio investment in bonds and seeks relatively stable returns.

Money market funds refer to funds that invest in short-term securities in the money market. The assets of the Fund are mainly invested in short-term monetary instruments, such as treasury bills, commercial paper, bank time deposit certificates, government short-term bonds, corporate bonds, interbank deposits and other short-term securities.

Monetary funds invest in financial instruments within one year, and the term is short. Bond funds can invest in long-term bonds with a term of 1 year or more. Compared with the two, the money fund is more stable, with relatively low yield, and pursues security and liquidity; Bond funds have a wider investment range than money funds, and the yield is usually relatively higher, but the liquidity and security are poor.