Concept
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Money marketsrefer to markets where highly liquid, short-term financial instruments are traded. Although there is no set period that defines ‘short-term’, the rule of thumb is that these instruments have a maturity of one year or less.The instruments that are traded within the money market environment are comparably low in risk and volatility, especially when compared to those in capital markets. Money market instruments include:•Deposits•Certificates of Deposit•Treasury Bills•Commercial Paper