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Fidelity MMFs (see link) Fidelity presents 1 day yield as well as 7 day yield (based on last 7 days' returns), so you can get a sense of trend. For those watching daily changes, it shows both current and previous day rates. (Today's rates just came online around 6:45PM.)
I don't find it worth chasing yield for a few basis points on cash. If yield is paramount and you don't want to chase yield, Vanguard is likely the best bet. Though if Vanguard isn't your brokerage (and Vanguard's given ample reasons to avoid it), then to draw cash you'll have the hassle of selling your preferred MMF and subsequently moving the cash. IMHO not worth the hassle and the lag.
FWIW, FSIXX (avail through Merrill) 7 day yield held steady between yesterday and today at 3.94%, but its one day yield dropped today to 3.93%. In contrast, FIGXX (also avail at Merrill), (with a steady 4.03% 7 day yield) saw its one day yield rise from 3.98% to 4.01%. All of which signifies nothing.
From current Barron's: FUNDS. New money-market ETFs are growing: GMMF (20 bps, 04/2025), MMKT (20 bps, 09/2024, 1st), PMMF (20 bps, 04/2025, prime), SBIL (15 bps, 07/2025, biggest), SGVT (28 bps, 06/2025). Firms offering them also have their own money-market mutual funds. These ETFs follow the same investment guidelines as money-market mutual funds, but they can be traded intraday, and their NAVs fluctuate a bit around $1. Their ERs are comparable to ultra-ST bond funds, but lower than money-market funds. They may not be included in brokerages’ NTF group
Just poked around at Schwab re "MMKT", above, trying to see what the transaction fee might be. Tried to place order for one share, was told that "this transaction cannot be place on-line"- must go through a Schwab account rep.
The actual NAVs of all OEF MMFs fluctuate a bit around $1, but retail and government MMFs are allowed to claim "a stable net asset value per share or stable price per share, by virtue of either the amortized cost method and/or the penny-rounding method." That is, in reality their NAVs fluctuate (if valued by marking to market) but not so much that you would notice. They report a share value of a dollar exactly. SEC Rule 2a-7(c)(1)(i)
MM ETFs have NAVs with five significant digits ($1xx.xx) much like floating NAV institutional MMFs ($1.xxxx). So you actually see their fluctuations. Further, because their prices may not exactly match their NAVs (tracking error) they have an additional source of volatility.
Their ERs are comparable to ultra-ST bond funds, but lower than money-market funds.
It depends on the fund family and the class of shares. For most families, retail shares will have higher ERs than the examples given. For some families (notably Vanguard), retail shares may be cheaper than MM ETFs. And some less expensive institutional class shares may be available with low mins through third parties. These options don't work for everyone, but if they do, they can be cheaper offerings.
Vanguard MMFs have ERs between 7 and 12 basis points. Schwab MMF's ultra share class ($1M min) such as SUTXX have ERs of 19 basis points. Fidelity's FIGXX, FSIXX, and FISXX are available at Merrill with a $1 min and have ERs of 18 basis points. Likewise, institutional class shares of some Federated Hermes and Blackrock MMFs are available through Merrill. For example, Blackrock's TFDXX with a 17 basis point ER.
They [MM ETFs] may not be included in brokerages’ NTF group
NTF or not, are they even available for purchase? I get the most curious messages at brokerages when I try, such as Merrill's: "Trading of this security is generally not permitted on the Merrill platform as it carries unique risks".
Finally, because these have floating prices, every sale can generate a cap gain or loss. And reinvesting divs will almost surely result in a wash sale if you sell shares at a loss.
Perhaps the two basis point boost that Schwab investors would get with SGVT (7 day yield 3.90%) as compared with SNVXX (3.88%) is worth the added effort for some. Outside of Schwab and its in-house ETF, where can one buy these ETFs?
MMF ETFs sound great on paper until one gets into the details.
Why don't government MM ETFs maintain a stable NAV?
I can understand prime MM ETFs not maintaining a stable NAV. They can't preclude institutions from buying shares on the secondary market and prime MMFs that are open to institutions must have floating NAVs.
But why are the government MM ETFs electing to have a floating NAV? The only guess I've got is that since the market price will fluctuate anyway, there's no particular benefit in their doing the work of complying with regulations permitting them to fix their NAV.
From the Schwab SGVT prospectus:
Although the fund intends to operate as a “government money market fund”, it will not seek to maintain a stable net asset value (“NAV”) per share nor will it use the amortized cost method of valuation. Instead, the fund will calculate its NAV per share based on the market value of its investments.
Comments
https://www.schwab.com/money-market-funds
Merrill's (third party) MMF rates:
https://olui2.fs.ml.com/Publish/Content/application/pdf/GWMOL/ICCRateSheet.pdf
Vanguard MMFs (usually the best rates and only a $3K min required)
https://investor.vanguard.com/investment-products/money-markets#mm-rates
Fidelity MMFs (see link)
Fidelity presents 1 day yield as well as 7 day yield (based on last 7 days' returns), so you can get a sense of trend. For those watching daily changes, it shows both current and previous day rates. (Today's rates just came online around 6:45PM.)
I don't find it worth chasing yield for a few basis points on cash. If yield is paramount and you don't want to chase yield, Vanguard is likely the best bet. Though if Vanguard isn't your brokerage (and Vanguard's given ample reasons to avoid it), then to draw cash you'll have the hassle of selling your preferred MMF and subsequently moving the cash. IMHO not worth the hassle and the lag.
FWIW, FSIXX (avail through Merrill) 7 day yield held steady between yesterday and today at 3.94%, but its one day yield dropped today to 3.93%. In contrast, FIGXX (also avail at Merrill), (with a steady 4.03% 7 day yield) saw its one day yield rise from 3.98% to 4.01%. All of which signifies nothing.
FUNDS. New money-market ETFs are growing: GMMF (20 bps, 04/2025), MMKT (20 bps, 09/2024, 1st), PMMF (20 bps, 04/2025, prime), SBIL (15 bps, 07/2025, biggest), SGVT (28 bps, 06/2025). Firms offering them also have their own money-market mutual funds. These ETFs follow the same investment guidelines as money-market mutual funds, but they can be traded intraday, and their NAVs fluctuate a bit around $1. Their ERs are comparable to ultra-ST bond funds, but lower than money-market funds. They may not be included in brokerages’ NTF group
The actual NAVs of all OEF MMFs fluctuate a bit around $1, but retail and government MMFs are allowed to claim "a stable net asset value per share or stable price per share, by virtue of either the amortized cost method and/or the penny-rounding method." That is, in reality their NAVs fluctuate (if valued by marking to market) but not so much that you would notice. They report a share value of a dollar exactly.
SEC Rule 2a-7(c)(1)(i)
MM ETFs have NAVs with five significant digits ($1xx.xx) much like floating NAV institutional MMFs ($1.xxxx). So you actually see their fluctuations. Further, because their prices may not exactly match their NAVs (tracking error) they have an additional source of volatility.
Their ERs are comparable to ultra-ST bond funds, but lower than money-market funds.
It depends on the fund family and the class of shares. For most families, retail shares will have higher ERs than the examples given. For some families (notably Vanguard), retail shares may be cheaper than MM ETFs. And some less expensive institutional class shares may be available with low mins through third parties. These options don't work for everyone, but if they do, they can be cheaper offerings.
Vanguard MMFs have ERs between 7 and 12 basis points. Schwab MMF's ultra share class ($1M min) such as SUTXX have ERs of 19 basis points. Fidelity's FIGXX, FSIXX, and FISXX are available at Merrill with a $1 min and have ERs of 18 basis points. Likewise, institutional class shares of some Federated Hermes and Blackrock MMFs are available through Merrill. For example, Blackrock's TFDXX with a 17 basis point ER.
They [MM ETFs] may not be included in brokerages’ NTF group
NTF or not, are they even available for purchase? I get the most curious messages at brokerages when I try, such as Merrill's: "Trading of this security is generally not permitted on the Merrill platform as it carries unique risks".
Finally, because these have floating prices, every sale can generate a cap gain or loss. And reinvesting divs will almost surely result in a wash sale if you sell shares at a loss.
Perhaps the two basis point boost that Schwab investors would get with SGVT (7 day yield 3.90%) as compared with SNVXX (3.88%) is worth the added effort for some. Outside of Schwab and its in-house ETF, where can one buy these ETFs?
MMF ETFs sound great on paper until one gets into the details.
I can understand prime MM ETFs not maintaining a stable NAV. They can't preclude institutions from buying shares on the secondary market and prime MMFs that are open to institutions must have floating NAVs.
But why are the government MM ETFs electing to have a floating NAV? The only guess I've got is that since the market price will fluctuate anyway, there's no particular benefit in their doing the work of complying with regulations permitting them to fix their NAV.
From the Schwab SGVT prospectus: https://dfinview.com/Schwab/TVT/808524581/SP?site=FundDocs