What is money market?
Financial market where instruments with high liquidity and very short maturities are traded is called money market.
Who indulge in short term from several days to less than a year. It is mainly used for borrowing and lending over this short term. Due to the highly liquid nature of the securities and short maturities, money market is perceived as a safe place to lock in money.
One of the main differences between the money market and the stock market is that most money market securities trade in very high denominations. This limits access for the individual investor.
There are several different instruments in the money market, offering different returns and different risks.