{"id":5224,"date":"2024-03-31T13:02:07","date_gmt":"2024-03-31T07:32:07","guid":{"rendered":"https:\/\/incredmoney.wpcomstaging.com\/?p=5224"},"modified":"2024-03-31T13:02:07","modified_gmt":"2024-03-31T07:32:07","slug":"money-market-instruments-meaning","status":"publish","type":"post","link":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/","title":{"rendered":"Money Market Instruments: Meaning, Types, Advantages and Disadvantages"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">The financial market is a marketplace where the government, institutions, and investors trade in financial instruments. It plays a vital role in India&#8217;s economy by mobilising funds between investors and borrowers. The financial market comprises of two components, namely, the money market and the capital market. In this article, we have explained in detail the money market and its instruments and how it differs from the capital market.<\/span><\/p>\n<h2><strong>What is the Money Market?<\/strong><\/h2>\n<p><span style=\"font-weight: 400;\">A money market is a financial market where short-term financial assets, specifically debt assets, with a maturity of up to one year are traded. Since this market has instruments with maturity of less than one year, they are considered close substitutes to money. As such, the typical features of the money market are high liquidity and short maturity.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The money market has several participants, such as the government, large and small companies, financial institutions, and the Reserve Bank of India (RBI). Each of these participants use the money market to either raise money or earn short-term returns.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The government and companies issue money market instruments to raise short-term money. Banks and individual investors invest in money market instruments to park their surplus funds and earn short-term returns. The RBI uses money market instruments to plan and implement the monetary policy.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Apart from mobilising funds in the market and providing liquidity, a money market is essential for the following reasons.<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The money market helps strengthen the balance between the demand and supply of short-term monetary transactions.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It helps businesses grow by offering them timely working capital requirements. Without money market instruments, companies will have to wait until they sell their goods and services and receive payments from their customers.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">RBI drafts its monetary policy by taking the money market as a guide.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It helps the government raise funds for the short term.<\/span><\/li>\n<\/ul>\n<h2><strong>What are Money Market Instruments?<\/strong><\/h2>\n<p><span style=\"font-weight: 400;\">Money market instruments trade over the counter and are very liquid as they have a low maturity period. They offer higher returns than a savings bank account and have no lock-in period.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Money market instruments are suitable for investors looking to park excess cash for a very short period of time and earn stable returns. Since they are considered as low-risk investments, investors who want to diversify their portfolio can consider investing in them. Moreover, investors nearing their financial goals can transfer their equity investments into money market instruments to safeguard their capital and returns.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Following are the different types of money market instruments.<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Treasury Bills<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Certificate of Deposits<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Commercial Papers<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Repurchase Agreements<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Banker\u2019s Acceptance<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Call and Notice Money<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Commercial Bills<\/span><\/li>\n<\/ul>\n<h2><strong>Types of Money Market Instruments: In Detail<\/strong><\/h2>\n<p><span style=\"font-weight: 400;\">The following are different types of money market instruments:<\/span><\/p>\n<h3><strong>Treasury-Bills<\/strong><\/h3>\n<p><span style=\"font-weight: 400;\">Treasury Bills are short-term debt instruments issued by the RBI on behalf of the Government of India. These bills are available at a discount to their face value, and you will receive the face value upon maturity.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">T-Bills offered for 91 days, 182 days, and 364 days. These are also called zero-coupon securities, i.e., they do not yield any interest.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For example, you can buy a 91-day T-bill with a face value of Rs. 100 T-Bill at Rs. 93.25, and upon maturity, you will redeem it in full, i.e., at Rs. 100.<\/span><\/p>\n<p><b>Features<\/b><span style=\"font-weight: 400;\">:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The minimum investment is INR 10,000, with multiples of INR 10,000 for larger amounts.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Issued at a discount to face value; thus, there is no interest or dividend that an investor will receive separately. You will receive the full face value on maturity.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Short-term debt instrument with a maximum tenure of 364 days.<\/span><\/li>\n<\/ul>\n<h3><strong>Certificates of Deposits (CDs)<\/strong><\/h3>\n<p><span style=\"font-weight: 400;\">CDs can only be issued by Scheduled Commercial Banks, Regional Rural Banks, and Small Finance Banks. CDs offer flexibility to investors and are issued in a dematerialised form against a deposited amount for a specified period. The tenure of CDs ranges from seven days to one year.<\/span><\/p>\n<p><b>Features<\/b><span style=\"font-weight: 400;\">:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">CDs are issued to a single issuer for a minimum of Rs. 1 Lakh and its multiples.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Commercial banks&#8217; CDs mature in 7 days to 1 year, while financial institutions&#8217; CDs range from 1 to 3 years.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">CDs are issued at a discounted rate on the face value.\u00a0<\/span><\/li>\n<\/ul>\n<h3><strong>Commercial Papers (CPs)<\/strong><\/h3>\n<p><span style=\"font-weight: 400;\">CPs are unsecured promissory notes issued by financial institutions and large corporations. Similar to T-bills, CPs are purchased at a discount, and the return is the difference between the purchase price and face value.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">CPs can be issued for amounts of Rs. 5 lakhs or multiples thereof. They have varied tenors ranging from 15 days to 364 days.<\/span><\/p>\n<p><b>Features<\/b><span style=\"font-weight: 400;\">:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Commercial papers are typically unsecured, relying on the issuer\u2019s financial credibility.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">CPs are issued as promissory notes, promising a fixed amount.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It can be issued at a discount to the face value.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Short-term debt instrument with a fixed maturity period &#8211; 15 to 364 days<\/span><\/li>\n<\/ul>\n<h3><strong>Treasury Bills Repurchase (TREPS)\u00a0<\/strong><\/h3>\n<p><span style=\"font-weight: 400;\">TREPS are short-term money market instruments that earn returns on idle cash. Financial institutions, banks, and mutual funds are the main players in TREPS.<\/span><\/p>\n<p><b>Features<\/b><span style=\"font-weight: 400;\">:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Highly liquid, can be easily bought and sold on the stock market.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">TRESP are popular for short term &#8211; parking idle cash.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The returns generated from TREPS are subject to prevailing market conditions, thus have the potential to generate high profits when interest rates are high.<\/span><\/li>\n<\/ul>\n<h3><strong>Call and Notice Money<\/strong><\/h3>\n<p><span style=\"font-weight: 400;\">In a call money market, funds are borrowed and lent for a single day, while in the notice market, the borrowing and lending are for up to 14 days without any collateral security. Commercial and cooperative banks actively borrow and lend in both markets.<\/span><\/p>\n<p><b>Features<\/b><span style=\"font-weight: 400;\">:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Typically for very short periods, often one day, overnight or fortnight.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Allows for higher interest rates due to the absence of collateral (unsecured).<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Ideal for banks and financial institutions with short-term liquidity needs.<\/span><\/li>\n<\/ul>\n<h2><strong>How to Invest in Money Market Instrument?<\/strong><\/h2>\n<p><span style=\"font-weight: 400;\">Though all money market instruments are not available for retail investors, T-bills, certificates of deposits, and commercial papers can be bought through:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Banks<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Over the counter through brokerage firms<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">RBI\u2019s Retail Direct portal<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Mutual funds<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">You can invest in T-bills directly through primary auctions, secondary markets or RBI&#8217;s Retail Direct portal, Or indirectly through mutual funds.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You can invest in certificates of deposits from financial institutions as well as different commercial banks.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Commercial papers are high-ticket investments, and you can invest through brokerage firms. Indirectly, you can invest in commercial papers and all other types of money market instruments through mutual funds .<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Only Scheduled Commercial Banks, Cooperative Banks, Primary Dealers, Mutual Funds, Insurance Companies and corporate entities can invest in repurchase agreements. Scheduled commercial banks (excluding RRBs), cooperative banks (other than Land Development Banks) and Primary Dealers (PDs) can borrow or lend in the call\/notice money market.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To invest in money market, the most viable option for retail investors is through mutual funds. There are schemes like Liquid Fund, Overnight Fund, Money Market Funds which predominantly invest in these money market instruments.\u00a0<\/span><\/p>\n<h2><strong>Advantages of Money Market Instruments<\/strong><\/h2>\n<p><span style=\"font-weight: 400;\">The following are the advantages of money market instruments:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Better returns than savings bank account<\/b><span style=\"font-weight: 400;\">: The returns from money market instruments are slightly higher than a savings bank account.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Short-term investments<\/b><span style=\"font-weight: 400;\">: These instruments focus on short-term maturities. Thus, they are suitable for parking funds for the short term.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Safe investments<\/b><span style=\"font-weight: 400;\">: Money market instruments are secure investments that offer predictable income during market instability.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Low risk<\/b><span style=\"font-weight: 400;\">: Backed by reputable issuers like governments and financial institutions, ensuring high credibility and safety.<\/span><\/li>\n<\/ul>\n<h2><strong>Disadvantage of Money Market Instruments<\/strong><\/h2>\n<p><span style=\"font-weight: 400;\">The following is the disadvantage of money market instruments:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Inflation risk<\/b><span style=\"font-weight: 400;\">: Returns may not keep pace with rising inflation, potentially reducing purchasing power over time.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>High ticket size<\/b><span style=\"font-weight: 400;\">: The minimum investment in money market instruments is high making them unaffordable to small retail investors.\u00a0<\/span><\/li>\n<\/ul>\n<h2><strong>Money Market Vs Capital Market<\/strong><\/h2>\n<p><span style=\"font-weight: 400;\">The following table highlights the key differences between the money market and the capital market:<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td><b>Parameter<\/b><\/td>\n<td><b>Money Market<\/b><\/td>\n<td><b>Capital Market<\/b><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Participants<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Government corporations, financial institutions, banks, corporations and retail investors<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Retail investors, professional brokers, financial institutions, and corporates.<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Tenure<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Short-term: A few days to 3 years.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Both short-term and long-term investments<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Instruments<\/span><\/td>\n<td><span style=\"font-weight: 400;\">T-bills, commercial papers, certificates of deposits, Repo, Banker&#8217;s acceptance, call and notice money, and commercial bills.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Stocks, bonds, and government securities.<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Regulator<\/span><\/td>\n<td><span style=\"font-weight: 400;\">The Reserve Bank of India (RBI)<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Securities and Exchange Board of India (SEBI)<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2><strong>Conclusion<\/strong><\/h2>\n<p><span style=\"font-weight: 400;\">Money market instruments offer one of the safest options available to beginners who want to get exposure to the investing world. Since they offer stable and predictable returns with low risk and high liquidity, they are the most preferred short-term investments. However, before investing in money market instruments, you must determine your goals and risk tolerance levels.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Money market instruments best suit investors with short-term goals and low-risk appetite. However, due to this high investment requirements these best suit institutional investors. In case retail investors want to invest in them, then mutual funds investing in money market instruments is a viable option.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Before investing in money market instruments, it is essential to determine which instrument you plan to invest in after doing thorough research about each instrument and the issuer.<\/span><\/p>\n<h2><strong>Frequently Asked Questions (FAQs)<\/strong><\/h2>\n<p><b>Who is eligible to invest in Money Market Securities?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Individuals, banking institutions, corporations, and enterprises can buy money market instruments.<\/span><\/p>\n<p><b>Who issues Money Market Instruments?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Money market instruments are issued by borrowers seeking short-term capital, including government agencies, banking institutions, financial entities, companies, and corporations.<\/span><\/p>\n<p><b>Is a bond a Money Market Instrument?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Bonds are not money market instruments. Since bonds have a longer maturity, they are not considered as money market instruments.<\/span><\/p>\n<p><b>Do debt instruments trade in both money and capital markets?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Both private companies and government institutions issue debt instruments to raise funds for both short-term and long-term financing. However, money markets exclusively handle short-term debt instruments, while capital markets are for long-term debt instruments.<\/span><\/p>\n<p><b>Are derivatives part of money market instruments?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">No, derivates are not part of money market instruments. Derivates trade on the derivatives exchange or over-the-counter.<\/span><\/p>\n<p><b>What are the factors that determine the interest rates of Money Market Instruments?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Economic conditions, supply and demand dynamics, credit risk, and market sentiments are some of the factors that determine the interest rates of money market instruments.<\/span><\/p>\n<p><b>How is the interest from Money Market Instruments taxed?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The interest earned from investing in money markets is taxed as per your applicable tax slab rate.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The financial market is a marketplace where the government, institutions, and investors trade in financial instruments. It plays a vital role in India&#8217;s economy by mobilising funds between investors and borrowers. The financial market comprises of two components, namely, the money market and the capital market. In this article, we have explained in detail the [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":5228,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[7],"tags":[2],"class_list":["post-5224","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy","tag-blog"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Money Market Instruments: Meaning, Types, Advantages and Disadvantages - InCred Money<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Money Market Instruments: Meaning, Types, Advantages and Disadvantages - InCred Money\" \/>\n<meta property=\"og:description\" content=\"The financial market is a marketplace where the government, institutions, and investors trade in financial instruments. It plays a vital role in India&#8217;s economy by mobilising funds between investors and borrowers. The financial market comprises of two components, namely, the money market and the capital market. In this article, we have explained in detail the [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/\" \/>\n<meta property=\"og:site_name\" content=\"InCred Money\" \/>\n<meta property=\"article:published_time\" content=\"2024-03-31T07:32:07+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/devblog.incredmoney.com\/blog\/wp-content\/uploads\/2024\/03\/Money-Market-Instruments-1-1.png\" \/>\n\t<meta property=\"og:image:width\" content=\"2492\" \/>\n\t<meta property=\"og:image:height\" content=\"1652\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Varun Shah\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Varun Shah\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"8 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":[\"Article\",\"BlogPosting\"],\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/\"},\"author\":{\"name\":\"Varun Shah\",\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/#\/schema\/person\/a994247d640675efd365664db35eac52\"},\"headline\":\"Money Market Instruments: Meaning, Types, Advantages and Disadvantages\",\"datePublished\":\"2024-03-31T07:32:07+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/\"},\"wordCount\":1706,\"commentCount\":0,\"image\":{\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/devblog.incredmoney.com\/blog\/wp-content\/uploads\/2024\/03\/Money-Market-Instruments-1-1.png\",\"keywords\":[\"Blogs\"],\"articleSection\":[\"Economy\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/\",\"url\":\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/\",\"name\":\"Money Market Instruments: Meaning, Types, Advantages and Disadvantages - InCred Money\",\"isPartOf\":{\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/devblog.incredmoney.com\/blog\/wp-content\/uploads\/2024\/03\/Money-Market-Instruments-1-1.png\",\"datePublished\":\"2024-03-31T07:32:07+00:00\",\"author\":{\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/#\/schema\/person\/a994247d640675efd365664db35eac52\"},\"breadcrumb\":{\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#primaryimage\",\"url\":\"https:\/\/devblog.incredmoney.com\/blog\/wp-content\/uploads\/2024\/03\/Money-Market-Instruments-1-1.png\",\"contentUrl\":\"https:\/\/devblog.incredmoney.com\/blog\/wp-content\/uploads\/2024\/03\/Money-Market-Instruments-1-1.png\",\"width\":2492,\"height\":1652,\"caption\":\"Money Market Instruments\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/devblog.incredmoney.com\/blog\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Money Market Instruments: Meaning, Types, Advantages and Disadvantages\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/#website\",\"url\":\"https:\/\/devblog.incredmoney.com\/blog\/\",\"name\":\"InCred Money\",\"description\":\"\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/devblog.incredmoney.com\/blog\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/devblog.incredmoney.com\/blog\/#\/schema\/person\/a994247d640675efd365664db35eac52\",\"name\":\"Varun Shah\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/secure.gravatar.com\/avatar\/ff5f69fbbd06ef168df4fa372f8fc0cd81b33b554c7146dc0a6f25e9702f3860?s=96&d=mm&r=g\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/ff5f69fbbd06ef168df4fa372f8fc0cd81b33b554c7146dc0a6f25e9702f3860?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/ff5f69fbbd06ef168df4fa372f8fc0cd81b33b554c7146dc0a6f25e9702f3860?s=96&d=mm&r=g\",\"caption\":\"Varun Shah\"},\"sameAs\":[\"https:\/\/www.linkedin.com\/in\/varun-shah-5b5570a4\/\"],\"url\":\"https:\/\/devblog.incredmoney.com\/blog\/author\/varunshah\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Money Market Instruments: Meaning, Types, Advantages and Disadvantages - InCred Money","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/","og_locale":"en_US","og_type":"article","og_title":"Money Market Instruments: Meaning, Types, Advantages and Disadvantages - InCred Money","og_description":"The financial market is a marketplace where the government, institutions, and investors trade in financial instruments. It plays a vital role in India&#8217;s economy by mobilising funds between investors and borrowers. The financial market comprises of two components, namely, the money market and the capital market. In this article, we have explained in detail the [&hellip;]","og_url":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/","og_site_name":"InCred Money","article_published_time":"2024-03-31T07:32:07+00:00","og_image":[{"width":2492,"height":1652,"url":"https:\/\/devblog.incredmoney.com\/blog\/wp-content\/uploads\/2024\/03\/Money-Market-Instruments-1-1.png","type":"image\/png"}],"author":"Varun Shah","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Varun Shah","Est. reading time":"8 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":["Article","BlogPosting"],"@id":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#article","isPartOf":{"@id":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/"},"author":{"name":"Varun Shah","@id":"https:\/\/devblog.incredmoney.com\/blog\/#\/schema\/person\/a994247d640675efd365664db35eac52"},"headline":"Money Market Instruments: Meaning, Types, Advantages and Disadvantages","datePublished":"2024-03-31T07:32:07+00:00","mainEntityOfPage":{"@id":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/"},"wordCount":1706,"commentCount":0,"image":{"@id":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#primaryimage"},"thumbnailUrl":"https:\/\/devblog.incredmoney.com\/blog\/wp-content\/uploads\/2024\/03\/Money-Market-Instruments-1-1.png","keywords":["Blogs"],"articleSection":["Economy"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/","url":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/","name":"Money Market Instruments: Meaning, Types, Advantages and Disadvantages - InCred Money","isPartOf":{"@id":"https:\/\/devblog.incredmoney.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#primaryimage"},"image":{"@id":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#primaryimage"},"thumbnailUrl":"https:\/\/devblog.incredmoney.com\/blog\/wp-content\/uploads\/2024\/03\/Money-Market-Instruments-1-1.png","datePublished":"2024-03-31T07:32:07+00:00","author":{"@id":"https:\/\/devblog.incredmoney.com\/blog\/#\/schema\/person\/a994247d640675efd365664db35eac52"},"breadcrumb":{"@id":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#primaryimage","url":"https:\/\/devblog.incredmoney.com\/blog\/wp-content\/uploads\/2024\/03\/Money-Market-Instruments-1-1.png","contentUrl":"https:\/\/devblog.incredmoney.com\/blog\/wp-content\/uploads\/2024\/03\/Money-Market-Instruments-1-1.png","width":2492,"height":1652,"caption":"Money Market Instruments"},{"@type":"BreadcrumbList","@id":"https:\/\/devblog.incredmoney.com\/blog\/money-market-instruments-meaning\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/devblog.incredmoney.com\/blog\/"},{"@type":"ListItem","position":2,"name":"Money Market Instruments: Meaning, Types, Advantages and Disadvantages"}]},{"@type":"WebSite","@id":"https:\/\/devblog.incredmoney.com\/blog\/#website","url":"https:\/\/devblog.incredmoney.com\/blog\/","name":"InCred Money","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/devblog.incredmoney.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/devblog.incredmoney.com\/blog\/#\/schema\/person\/a994247d640675efd365664db35eac52","name":"Varun Shah","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/ff5f69fbbd06ef168df4fa372f8fc0cd81b33b554c7146dc0a6f25e9702f3860?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/ff5f69fbbd06ef168df4fa372f8fc0cd81b33b554c7146dc0a6f25e9702f3860?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/ff5f69fbbd06ef168df4fa372f8fc0cd81b33b554c7146dc0a6f25e9702f3860?s=96&d=mm&r=g","caption":"Varun Shah"},"sameAs":["https:\/\/www.linkedin.com\/in\/varun-shah-5b5570a4\/"],"url":"https:\/\/devblog.incredmoney.com\/blog\/author\/varunshah\/"}]}},"_links":{"self":[{"href":"https:\/\/devblog.incredmoney.com\/blog\/wp-json\/wp\/v2\/posts\/5224","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/devblog.incredmoney.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/devblog.incredmoney.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/devblog.incredmoney.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/devblog.incredmoney.com\/blog\/wp-json\/wp\/v2\/comments?post=5224"}],"version-history":[{"count":0,"href":"https:\/\/devblog.incredmoney.com\/blog\/wp-json\/wp\/v2\/posts\/5224\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/devblog.incredmoney.com\/blog\/wp-json\/wp\/v2\/media\/5228"}],"wp:attachment":[{"href":"https:\/\/devblog.incredmoney.com\/blog\/wp-json\/wp\/v2\/media?parent=5224"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/devblog.incredmoney.com\/blog\/wp-json\/wp\/v2\/categories?post=5224"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/devblog.incredmoney.com\/blog\/wp-json\/wp\/v2\/tags?post=5224"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}