What Is a VMFXX?
As its main goal is to provide current income and preserve shareholders’ principal investments, the fund maintains a share price of $1. For this reason, it is considered one of the most conservative investment options offered by Vanguard.
How Does VMFXX Work?
The fund invests in very short-term investments of less than one year to maturity, if interest rates go up (or down), the yield will also go up (or down). Barring a financial crisis, there is little risk associated with this fund.
What’s the Average Yield of VMFXX?
VMFXX vs. VMMXX
The VMFXX invests in only short-term US government bonds and obligations. It is the safest possible thing one can invest it.
Personalized Financial Plans for an Uncertain Market
In today’s uncertain market, investors are looking for answers to help them grow and protect their savings. So we partnered with Vanguard Advisers -- one of the most trusted names in finance -- to offer you a financial plan built to withstand a variety of market and economic conditions. A Vanguard advisor will craft your customized plan and then manage your savings, giving you more confidence to help you meet your goals. Click here to get started.
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