Noticed an announcement logging into TDA this evening, which brought me to this page, shown below. Looks like they're finally giving folks an option to tuck money into real MM funds for a change though I haven't looked into the funds ER yet. While many were no-load/no-fee, this is the first time I've seen MMs at TDA offered w/o the short-term redemption fee as well, which now makes these potentially more viable for people to tuck $$ into versus the paltry cash accounts.
All of the funds listed below are no-load, with no transaction fee, and no short-term redemption fees.
All money market funds on this page have a $1 initial investment minimum except for the following JP Morgan “Agency Class” funds, which have a $1 million initial investment minimum: AJLXX, OGAXX, VFIXX, AJTXX, VPIXX, VTIXX, and JMAXX.
While the goal of money market funds is earning interest with minimum risk and maintaining a net asset value (NAV) of $1 per share, it’s important to remember this isn’t guaranteed. These funds are not FDIC-insured nor guaranteed by the U.S. government or any government agency.
AJLXX JPMorgan Liquid Assets Money Market Fund Agency Class [1] Prime Money Market
AJTXX JPMorgan U.S. Treasury Plus Money Market Fund Agency Class [2] Money Market-Taxable
CACXX Federated California Municipal Cash Trust Service [1] Money Market-Tax-Free
FNTXX Federated New York Municipal Cash Trust Service Shares [1] Money Market-Tax-Free
GOSXX Federated Government Obligations Fund Service Shares [2] Money Market-Taxable
GTSXX Federated Government Obligations Tax-Managed Fund Institutional Service Shares [2] Money Market-Taxable
GVVXX State Street Institutional U.S. Government Money Market Fund Investment Class [2] Money Market-Taxable
HTOXX JPMorgan Municipal Money Market Fund Premier Class [1] Money Market-Tax-Free
JMAXX JPMorgan Municipal Money Market Fund Agency Class [1] Money Market-Tax-Free
MMCXX Federated Massachusetts Municipal Cash Trust Service Shares [1] Money Market-Tax-Free
MOSXX Federated Municipal Obligations Fund Service Shares [1] Money Market-Tax-Free
OGAXX JPMorgan U.S. Government Money Market Fund Agency Class [2] Money Market-Taxable
OGSXX JPMorgan U.S. Government Money Market Fund Premier Class [2] Money Market-Taxable
PJLXX JPMorgan Liquid Assets Money Market Fund Premier Class [1] Prime Money Market
PJTXX JPMorgan U.S. Treasury Plus Money Market Fund Premier Class [2] Money Market-Taxable
PRCXX Federated Prime Cash Obligations Fund Service Shares [1] Prime Money Market
PVSXX Federated Institutional Prime Value Obligations Funds Service Shares [3] Prime Money Market
TBSXX Federated Tax-Free Obligations Fund Service Shares [1] Money Market-Tax-Free
TISXX Federated U.S. Treasury Cash Reserves Service Shares [2] Money Market-Taxable
TOSXX Federated Treasury Obligations Fund Service Shares [2] Money Market-Taxable
TPVXX State Street Institutional Treasury Plus Money Market Fund Investment Class [2] Money Market-Taxable
TRVXX State Street Institutional Treasury Money Market Fund Investment Class [2] Money Market-Taxable
VFIXX JPMorgan Federal Money Market Fund Agency Class [2] Money Market-Taxable
VFPXX JPMorgan Federal Money Market Fund Premier Class [2] Money Market-Taxable
VHPXX JPMorgan 100% U.S. Treasury Securities Money Market Fund Premier Class [2] Money Market-Taxable
VPIXX JPMorgan 100% U.S. Treasury Securities Money Market Fund Agency Class [2] Money Market-Taxable
VTIXX JPMorgan Tax-Free Money Market Fund Agency Class [1] Money Market-Tax-Free
VXPXX JPMorgan Tax-Free Money Market Fund Premier Class [1] Money Market-Tax-Free
Comments
In addition, footnote (1) generally applies to prime and muni MMFs, which "may impose a fee upon the sale of your shares or may temporarily suspend your ability to sell shares if the fund's liquidity falls below required minimums." Same as, e.g. VMMXX.
Footnote (3), generally applicable to institutional funds, includes the same warnings and also notes that "the share price of the fund will fluctuate." Unlike the MMFs you're used to, variations in the NAV are reflected in the price per share of such funds.
For example, the highest yielding fund (aside from ones requiring $1M to buy) is PVSXX. Its current NAV is $1.0003, so I believe that you would get slightly less than one share per dollar. I haven't found the NAV info at TD Ameritrade; for this fund you can find it at Federated here:
https://www.federatedinvestors.com/products/mutual-funds/instl-prime-value-obligations/ss.do
PCOXX / 2.33%
GOFXX / 2.19%
AMAXX / 2.08%
Here's Merrill Edge's list of non-proprietary MMFs they offer:
https://olui2.fs.ml.com/Publish/Content/application/pdf/GWMOL/ICCRateSheet.pdf
GOFXX is on that list, but Merrill makes it available only in "accounts enrolled in an investment advisory program." Other MMFs are available for DIY investors.
These days I don't see much need to keep more than a little cash at one's brokerage (except for IRAs). One can transfer cash in from outside banks via ACH and have it available for trading almost immediately. (Having it available for withdrawal can take a couple more days.)
It's still easy to find banks with APYs going forward of 1.9% or better. CapitalOne, Marcus, Barclays, ...
Just as one looks at the APY at a bank for interest going forward, with MMFs one looks at the 7 day SEC yield rather than what one earned over the past year (TTM).
PCOXX seven day yield: 1.74%
GOFXX seven day yield: 1.59%
AMAXX seven day yield: 1.31%
https://www.federatedinvestors.com/products/mutual-funds/prime-cash-obligations/ws.do
https://www.federatedinvestors.com/products/mutual-funds/govt-obligations/prm.do
https://www.pimco.com/en-us/investments/mutual-funds/government-money-market-fund/a
If I were looking outside my brokerage for a MMF, I'd stick with Vanguard:
VMMXX seven day yield 1.79%. (TTM as of Oct. 31 was 2.33%)
VUSXX (state tax exempt) 1.73%. (TTM 2.23%)
https://investor.vanguard.com/mutual-funds/profile/VMMXX
https://investor.vanguard.com/mutual-funds/profile/VUSXX
Thanks for posting those 7 day yields on the mmk funds I referenced. I have a sleeve of mmk funds set up in M* portfolio manager in which I use the TTM yield to follow yield on all my funds. I guess, I could have used the weekly gains to compute the 7 day yield as the 7 day yield is not one of the options available for tracking purposes in portfolio manager. It use to be that I could go to the M* fund report to get the 7 day yield. But, with all the changes at M* I'm now finding that fund reports on mmk funds are no longer available.
Simply stated ... There have been a good number of concerns in the past posted about M* on the board. It seems, to me, that they have become more advisor orientated over the last year or so as they now offer the retail investor less and less. I'm not liking their new reports nor their new site either. I'm thinking it will not be long before the only thing that the retail investor will be able to track in portfolio manager is valuation. Recently, I been having problems with their Xray program as data can be entered but it just grinds away producing no Xray portfolio report. Oh well ... so it goes ... that's now par for M*.
Thank goodness I get good reporting from my brokerage house. And, I actually use some of their competitor's sites to now research funds along with MFO. Now, MFO is indeed a blessing for us small retail investors in doing fund searches. And, MFO actually follows and scores some mmk funds.
Skeet
I'd use the Vanguard MM if I could. Frankly many TDA customers were upset they didn't offer any 'free' alternatives to their cash sweep account ... I guess w/the recent moves by Schwab to lower fees and such they decided they needed to do something more for their customers. So this is a good move for them imho even if there isn't a VG fund to use and the available funds are somewhat more costly.
They also changed their futures pricing as well. Not sure what the new amount will be yet for regular folks, but at least they're giving me a lower rate for being a legacy ToS customer.