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A significant number of US money market funds have been operating under fee waivers to keep yields positive since last year. One of my retirement accounts sent
by OldHand2018 5y ago
A significant number of US money market funds have been operating under fee waivers to keep yields positive since last year.
One of my retirement accounts sent me an email stating that their fee waiver expires June 30 of this year and can’t be extended. This is very different from “breaking the buck”, but I am curious to see what things would look like if money market yields went negative, which apparently is likely to happen next month.
- alfiedotwtf 5y agoI'm curious but don't know enough about this topic. What could be likely impacts?
- OldHand2018 5y agoI’m not really sure. It would definitely mean that holding cash in an investment account costs money - you have to invest it in something to avoid losing money. But then again, investing in something involves the risk of losing a lot more money than holding it in “cash”!