A) Funding sources utilised to purchase securities bearing interest. Money market mutual funds are collections of capital used to purchase securities bearing interest.
Mutual funds pool the money from shareholders to invest in securities including stocks, bonds, money market instruments, and other assets. Mutual funds are managed by qualified money managers who distribute the assets in an effort to bring in profits or income for the fund's participants. A mutual fund's portfolio is constructed and maintained in line with the stated investment objectives in the prospectus. Through mutual funds, small or individual investors can have access to professionally managed portfolios of stocks, bonds, and other securities. Each shareholder thus receives a proportionate part of the fund's gains or losses.
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