What is your money market invested in and are you worried?

[Blessed]

We are moving $220k out of our money markets temporarily. We have this earmarked for purchasing rentals. After reading an article about some of the big firms pulling out of short term gov. We got curious. We wanted to find out what our banks had money markets invested in. I am guessing all of you besides me likely realized that not all money markets are insured. I took the bank guys word they were when we set them up. That was not correct info I found after talking to someone else at the bank.

I always was under the impression money markets were 100 percent safe. I got 2008 explained too me as far a money markets went.

[Petunia 100]

Money Market Accounts are FDIC insured; Money Market Funds are not.

If you're worried about safety, park your cash in high yield savings accounts offered by online banks. They pay better rates than typical brick and mortar banks because they don't have the huge overhead.

[Blessed]

Money Market Accounts are FDIC insured; Money Market Funds are not.

If you're worried about safety, park your cash in high yield savings accounts offered by online banks. They pay better rates than typical brick and mortar banks because they don't have the huge overhead.

I'm just moving it right to the savings in that same bank for a bit. Long enough too see if the gov defaults.

I see I had my terminology wrong. Thanks for correcting it.

I do have us much as they will let me keep in high yield checking for the 2.85 percent.

[BuckyBadger]

I don't listen to the "noise," so I'm not worried about anything. I'm in it for the long-term and have all our investments in a three fund portfolio consisting of three index funds - US stock, international stock, and US bonds. I have chosen an asset allocation that allows me to sleep at night no matter what the market is doing, and that allows me to not have to worry about anything.

[disneysteve]

I am not worried about my money markets, insured or not. Could they "break the buck" and lose some value? Sure, that's possible, but I certainly don't lose sleep thinking about it. A relatively small percentage of our money is held in money markets (and it's spread over several) so even if one or two did suffer a loss, the impact would be minimal.

[Blessed]

I'll be the first to admit I am not very comfortable with investing yet. Better than a year ago but not much. We have another larger amount invested in what I believe ( also had someone much wiser look at it) is diversified. We maxed out 401k and both ira. I will be much happier when the cash from the money market is in cash bought rentals.

Too be honest I don't know if I will ever be savvy enough to be very comfortable with all we invest. However our net work keeps growing with my limited skills so it is working.

[kork13]

I think I have a grand total of $500 (if that) in a money market, plus about twice that in government bonds (in my TSP retirement account). But either way, I'm not concerned... The Congress is progressing toward a solution, and they're all just as terrified as the rest of the country about the potential for a default. They'll get it done. I'm not changing my investment holdings by a whit.

[sblatner]

We are moving our emergency fund to Barclays online banking earning .9% interest. Better than the .15% I was earning at our brick and mortar bank. I know it isn't much but I like keeping it in cash. Also FDIC insured up to $250k.