Reverse repurchase of government bonds: high security, because government bonds are the bonds with the highest credit rating, and the exchange will supervise repayment. However, the rate of return is unstable. Generally, there will be high-yield opportunities at the end of the month, the end of the season, the end of the year or before legal holidays, which are generally low. In addition, you need to open a securities account.
Money Fund: The security is relatively low, because the money fund may invest in some wealth management products or bonds with high credit risk. In the event of default or liquidity crisis, the net value or redemption of the money fund may be affected. However, the yield is stable, generally between 2% and 4%, and it can be purchased and redeemed at any time, with good liquidity.
Generally speaking, if the liquidity requirements are relatively high or the amount of funds is small, you can choose the money fund; If you have a high expectation of income and don't mind complicated operation, you can choose reverse repurchase of government bonds. Either way, we should pay attention to diversifying risks, choose formal platforms and products, and adjust investment strategies in time according to market changes.