What Is Spaxx In My Fidelity Account. Spaxx is the ticker symbol for fidelity government money market fund. It pays a very low interest every month.
It is why many count the investment as a good alternative to standard chequing and savings accounts. Government agency and treasury debt, and related repurchase agreements. When you open an account with fidelity a core position is established to hold uninvested cash and process cash transactions.
Based Of What I Found I Will Be Using Fdrxx For This Purpose.
Since spaxx is used as a core position i assume that is the reason for the higher expense ratio. That cash just sitting there needs to be “in” something, so fidelity is asking how you want to hold it: Launched in 1990, spaxx remains the most widely held fidelity fund in the money market fund category.
No Transaction Fee Fidelity Funds Are Available Without Paying A Trading Fee To Fidelity Or A Sales Load To The Fund.
Spaxx is a money market mutual fund, which serves a specific role in your roth ira brokerage account. It is why many count the investment as a good alternative to standard chequing and savings accounts. This is a money market fund.
Understanding The Differences Can Help Keep Your Bottom Line Healthy And Your Savings Strong.
It holds cash, cds, possibly. A money market fund like the example above with ticker spaxx is a fund that basically invests in cash. Couldn’t resist so here’s the fun answer.
Your Core Position Is Used To Process Cash Transactions And Hold Uninvested Cash.
This is cash you can use to buy stocks. Intended for investors seeking as high a level of current income as is consistent with the preservation of capital and liquidity. It pays a very low interest every month.
An Investment In The Fund Is Not Insured Or Guaranteed By The Federal Deposit Insurance Corporation Or Any Other Government Agency.
When you open an account with fidelity a core position is established to hold uninvested cash and process cash transactions. It historically offers better interest rates than just sitting in a bank account while still being very liquid and safe (so it won’t go down in value and you can get your money out any time). You could lose money by investing in the fund.