Fidelity Government Money Market funds--(Spaxx) and Fidelity Cash Reserves(FDRXX) DOWNLOADS (2024)

FAQs

How much interest is FDRXX paying? ›

Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the fund is not a bank account and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency.

For all intents and purposes, it is basically an older version of SPAXX. Their holdings are nearly identical and they have nearly the same yield and the same historical returns. FDRXX launched in 1979 and has a 7-day SEC yield of 5.02%.

SPAXX is Fidelity Investment's prime money market fund. If you have a Fidelity brokerage account, your idle cash is automatically invested in SPAXX to earn its dividend. SPAXX is the FDIC-Insured Deposit Sweep program.

Distributions you receive from the fund are subject to federal income tax and generally will be taxed as ordin- ary income or capital gains, and may also be subject to state or local taxes, unless you are investing through a tax-advantaged retirement account (in which case you may be taxed later, upon withdrawal of ...

Fidelity SPAXX pays roughly 5% PER YEAR, not per week. Yields will vary but changes are relatively slow and your principal is very safe. Yieldmax is a company which sells a variety of different ETFs so unclear which you refer to, though of course none of them yield 5% monthly.

Quick Answer: SPAXX pays interest monthly. While the interest accrues daily, investors receive the accumulated interest on the last business day of each month. This frequent payout makes SPAXX attractive for investors seeking regular income and easy access to their money.

A decline in the credit quality of an issuer or a provider of credit support or a maturity-shortening structure for a security can cause the price of a money market security to decrease. Fidelity's government and U.S. Treasury money market funds will not impose a fee upon the sale of your shares.

Is Fidelity government money market safe? ›

Stability & safety

While not insured by the FDIC, the funds are required by federal regulations to invest in short-maturity, low-risk investments, making them less prone to market fluctuations than many other types of investments.

Fidelity is generally better for lower account balances (accounts less than $25,000) and direct crypto exposure. Charles Schwab is better for higher balances and offers a more comprehensive selection of advanced charting tools like the thinkorswim platform.

You could lose money by investing in a money market fund. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so.

Fidelity Government Money Market Fund (SPAXX), a taxable money market mutual fund investing in U.S. Government Agency and Treasury debt, and related repurchase agreements.

2.72% annual percentage yield

We automatically place your cash in an account at one or more program banks.

When every dollar matters, it pays to put your cash in a place where it could earn more. At Fidelity, any uninvested cash deposited in a Fidelity brokerage account is automatically put in a money market fund now earning 4.97%—just one more way we're providing industry-leading value for our customers.

What is the current Fed interest rate? Right now, the Fed interest rate is 5.25% to 5.50%. The FOMC established that rate in late July 2023.