The Risk in Investing in Money Market Funds Explained
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- Опубліковано 14 жов 2024
- This is an elaborate explainer of the possible risk that your money invested in the Money Market Fund is exposed to.
To learn more about Money Market Fund Accounts go here: bit.ly/mmflessons
Can you lose your money in the Money Market Fund Account
How safe is money in the Money Market Fund Account. and what happens when the money market fund company collapses.
You're doing the Lord's work. Empowering us for free
Thank you Geoffrey for the kind feedback 🙏
Hello nitakupata ache niongee na ww
Amen...I'm new here...
You can also watch Good Joseph for financial literacy Aldo..
Hands down the most useful video on mmfs even for experienced investors
Thank you so much Felix 🙏🏽
I'm humbled
My first time here too and I had to hit the subscribe button coz he hit something I needed to know and he is not malicious to other companies. Your education is very objective. Keep it up man.
Thank you very much Charles..and humbled to have you join us. Shukran sana 🙏
Just subscribed. Will come back with some questions. Ni vile Ni usiku😊
Welcome onboard 🙏🏽🙏🏽
Am following you for more details and how I can
Good video. Now for the case of Safaricom Mali, who is the fund manager and who is the custodian? I'd understand better with examples.
Thank you
Mali is not a fund manager. It's an intermediary or 3rd party of sorts. The fund manager during the pilot phase ongoing has been Genghis Capital.
So an example would be something like Genghis has a custodian and custodian who I think used to be KCB and Chase bank but not sure what they updated to after chase closed. One like Etica, custodian is Equity Bank and Trustee is Co-operative bank
This was very insightful. Thanks.
You're very much welcome my brother 🙏
Thank you for watching
Could you enlighten me about Etica or best Money markets. Thanks@MoneyVersations
Sadly, these Trustee & Custodian safeguards are not foolproof. Money market investors in Genghis Capital & Amana MMFs lost significant funds due to the reckless investments in Chase Bank & Nakumatt commercial paper.
This is Correct..
Yes, I lost money with *both* those MMFs, though in the case of Genghis it was a combination of a poorly structured trustee / custodian arrangement (which was brought to light by a bank run), plus investment in a corporate bond that went bad. In both cases customers' balances are still in limbo, with no clear plan of recovery. So every time I hear people saying MMFs are perfectly safe, I cry a little on the inside. No one really talks about what will happen in case of a bank run at the custody bank, or in case an investment in the portfolio goes bad since many MMFs don't hold 100% government paper.
Actually someone needs to talk about Amana in some depth, their house is truly not in order to date.
First time here, watching thru tele,but i had to come n comment using my fon,i love thissss
Thank you Mary..so glad to hear this and to have you 🙏
Hi, how can i invest in REITS kindly assist. Which company give and how to
Hey Natasha, I'll post about this in details. REITs are a good investment alternative as well
@@MoneyVersationswhat are REITS?
Weeeuh. Its like you are Godsent. I was very worried. You have earned a subscriber 🎉
Thank you so much for the feedback and karibu sana to the family. Glad this was helpful
Nice one bro,this made me subscribe to your channel coz I invest with mmf. Thanks
Thank you so much 🙏 and keep winning as well
Wow... Very Educative
What about Old Mutual Bank is it safe??
Yes Old Mutual is safe
Thank you very much for your kind feedback
I would like to hear more on treasury bonds also
Okay Marto, thanks for the suggestion
Great Job,, I learnt this frm ur tiktok long ago💯😊.Thank you
You're welcome bro ..
So glad to hear that..thank you very much for being here 🙏
Is cytonn mmf safe?
Hey Dolphine, I'm sure this question is well addressed in this video, please go through it again. In case you need further clarity please WhatsApp me at +254741244929
Plz help me understand how to check my savings balance
Hi, from which company Blessing. In most companies you can either login to the portal or app and check the balance. You can WhatsApp me for further advice
@@MoneyVersations Etica plz
Is Mali mmf and how genuine is it.
Would love to know more about REITS please
I'll post about this..thanks for the suggestion
How can I start REITS investment please?
This is a good question, I will post the video response to this
Insightful. Thanks
You're welcome Nelson..thanks for being here 🙏
Glad i got your channel ❤
Glad to have you too dear
So if the company shuts down them mtu anaendea pesa kwa Equity ama?
Great... you worked on the background👍
Thank you Charles..
And thanks for the feedback makes each step forward even better 🙏
Does money market fund operates only in banks
No..check the full list on the review video like the latest one
Hi Brian l am so grateful for your videos it's an eye open .
Thank you Ruth..I appreciate your kind feedback
kindly explain to me if its possible to open u an account with the group members[The chamaa group] of 25 members.
Yes this is possible and whether the chama is registered or not, it can still open an account. I will post a video explaining this, step by step
Yah for us we opened joint account coz we don't have certificate,,
By the does government tax organization?
@@SPONSOREDByGRACEyeah hapo kwa taxation ndo nilikuwa nataka kujua
Hello,am Timothy working with BRITAM INSURANCE COMPANY, can i take you through, number on my profile pic
Team Etica❤❤❤,we are winning
💪💪💪
How is Etica so far? Is it legit?
How is Etica so far? It is Legit?
Does it mean if bank closes down , savings in money mkt is still safe with the custodian ?
Hey Peter, if the fund manager closes down, yes the funds will not close down with them. Whenever invested funds mature they go back to the custodian.
Recently i read that Etica had 7M losses in 2023 . Are we safe ama tuhamishe
Ulisoma wapi ebu tell us we go check it out.But risk is always there still
Hey Victor, I think hata hii video imekuja timely kabisa especially to address this kind of issues. Huwa unlike banks, client's funds kwa MMF haziko part of the company's capital or profits and losses. Hizo mbili ni completely separate. The company's revenue comes from the management fees they charge our funds. But pesa zetu haziko part of their profits or losses. So tuko salama kabisaaa..
Ogopa saaana
I doubt the source of this information,but put it open to avoid this statement labeled a false flag.
@@johngithinji6191 It's true...conform on their website
New here' you're are doing a great job
Thank you Samuel.. I appreciate 🙏🏽
Shukran
Hey Ciku..Karibu sana 🙏
I have 1m want to investment in mmf. Which mmf company do you recommend
Hi Gladys, good to hear from you. Feel free to whatsapp for my recommendation wa.me/254710690832
@@MoneyVersations Hello. Do you file for taxes when you have a MMF?
I'm in Etica MMF. It's the best
Heh! Si heri wewe
@Gladys.. I recommend to invest in dividend stocks/shares rather than mmf but with good ground check to be sure..
Thank you!!
You're welcome 🤗
Hello 💯✅ great,can you do a video about zimele
Hey Sam.. Great I'll do that review..
thanks for your feedback 🙏
@@MoneyVersationslooking forward too
Will be waiting for the video
I would also be glad to hear about zimele,cic and Sanlam MMFs
Tell them zimele walijitoa kwa mmf now focus yao iko fixed accounts managements nowadays
This is very correct 💯💯💯
My advice to them they can try banks Mmf for sure I see Co-op and KCB mmf is improving
@@MoneyVersations tried to open a trading account on AIB digital and its failing not opening
Thanks for letting me know no wonder my account was changed to fixed n i was scared n stopped saving cash
@@MauaMazuri01 their interest shifted so you need to Check on them and see how long you have fixed your cash and the interest they attain as times goes by,also you can check in the dailies both your nation newspaper to check How They are fairing.from there you can make your .decision
Great mr very educative
Thank you so much 🙏🏽
What's is crypto currency, Forex Trading.....is it safe? Why others are losing & others are ripping big
I've done some videos on both this..please check. And I will do more going forward
Great content
Thank you Faith 🙏🏽🙏🏽
Good content bro
Thank you so much 🙏
because they withdraw from the custodian on behalf of clients, what if they do that but instead use investors money to remain afloat?
That's the reason there is a different custodian and Trustee and auditor to report on any of this malpractice..the fund manager has to make do with their revenue and capital. They can't do this as much as it sounds cool, that will be the end of them..your money can't be gambled
Good video, you are doing a great job.. I like it?
Thank you Anthony 🙏🏽
Can a chama group have a mmf account?
Yes 💯it is possible..a chama a business, a joint account, a company, an individual can all have or open a Money Market Fund account
Number on my profile picture, for more info 🎉
Yeah , you can.
We have one already with Etica
Awesome ❤
Thank you Nico..so good to have you
@@MoneyVersations let's walk the journey together! Thank you.
Wow awesome
Thank you so much Ruth 🙏
Like me l am in Arabic countries,how can l open that account please
So custodian cannot run away?
Imagine a whole KCB or Equity Bank running away because of a 0.001% deposit from the fund managers clients. 🤔 Ludicrous right?
New here😊
Welcome to the family and so good to have you.. 🙏 stay in touch and let's win together
How about us Muslims?We don't trade in interest accruing businesses.
But Muslims are generally very good in business..... so obviously they must make profits
Hey, I acknowledge that and for that reason there is a Shariah compliant Fund which works according to the Muslim faith and teachings. You can hop on it to plan your finances for tomorrow. Use this link bit.ly/shariafund to check it out
Hey Joyce, that's true they are great in business however the conflict lies between interest and profit. If it's profit that's okay but interest is the challenge
The profit I made/ The interest percent I made. One is on calculation over circulation( Income- expenses= profit)...Interest is on the profit growth per time in a business.
But all businesses in Eastleigh are owned by muslims and they make profits. This is not different.
Good job 🎉🎉🎉😊
Thank you Mary, good to have you 🙏🏽
Mniambie etica kwa method kunaendaje
❤❤
❤️❤️
So amazing
Thank you Alexander 🙏
Who is this trustee? Who is this custodian???? Who pays them?.are they doing watchdog work for free???
There's no free lunch..
But this is all settled from the management fee. It's part of the operations behind the funds.
If I give you my ksh 1000 today , would it be fair to return it to me with about ksh 0.98 ( about 1 bob) in two days time (48 hours )?
Can a mama mboga make at least ksh 200 or more by investing 1000 in two days time ?
This is what 18 % Kenya bonds means per annum in this scheme you people love to hype means.
Me thinks capital markets are for very idle money , busy people, lazy people and people without ideas.
Money markets kill small economies. They take away liquidity and finally stunt growth. In small economies like Kenya, they needed to be checked carefully.
Worse still when government agencies such as SAGAS (semi autonomous state agency )deposit funds in commercial banks which in return buy bonds from the same government using government funds and earning interest on it through the commercial banks. It's a major loophole for mega financial improprieties. Government lending itself money and paying interest on it.
Good feedback..
Thank you for sharing
The current 18% climate is temporary. Bonds have historically paid out 8 to 11%, and market data shows this. 18%+ is a temporary thing that will not last and reflects investor sentiment (that lending to the current government is increasingly risky). Expect to see lower rates as market conditions normalise.
Aside from that, if a government borrowing money from its citizens and paying it back at 18% is not good, then Fuliza and Mshwari shouldn't exist, and banks lending out money at 20% and above is absolutely unjust - yet that is the economic climate we are in right now, and that is how the modern economy works. Lending money for profit to willing customers is an acceptable business, just like selling mboga in a stall.
Like me l am in Arabic countries,how can l open that account please
Like me l am in Arabic countries,how can l open that account please
Hey Ann mambo? The one I'm guiding you to open is the same provider I am using. So what you do, go to this address, bit.ly/eticammf then there's a form there. Fill it and when it comes to the part they ask you type of account select local individual and when it gets to fund type, select Money market fund.
Am working with BRITAM INSURANCE,,I can send you a form you fill, number on my profile picture
Thank-you for this question! We're all helped. I'll follow that link
I opened Mali using my phone and I was scared to save more than 50k😂. Can I continue to top up?