___________ are a type of mutual funds that is required by law to invest in highly liquid and low-risk securities such as certificates of deposits or government securities. These funds pay dividends that generally reflect short-term interest rates and are not federally insured. Due to low-risk nature of the investments, these funds rarely lose money.

Question

Quizplus · Accepted Answer

Money market funds are mutual funds that invest in low-risk, highly liquid securities like certificates of deposit and government securities, and they pay dividends reflecting short-term interest rates.

___________ Are a Type of Mutual Funds That Is Required