Multiple choice

A Money Market Mutual Fund is most likely to invest in

  1. corporate Bonds

  2. equity Shares

  3. Government securities with maturity less than 1 year

  4. All of the above
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Money Market Mutual Funds are designed to invest in short-term, low-risk instruments with maturities typically less than 1 year. These include government securities, treasury bills, commercial paper, and certificates of deposit. They do NOT invest in corporate bonds (which are long-term), equity shares, or all of the above.

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