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Investment Options

Key Features of Money Market Investments


Mother & daughter on a swing with father pushingSafety, accessibility and competitive returns


If you're looking for a short-term investment that will generate higher returns than a traditional savings account, then money market investments could be right for you. They are ideal if you need quick access to your money and want the security of keeping your investment safe.

Money Market investments offer attractive benefits to investors with many different needs. They're ideal if you want to invest for short term goals--such as saving for a car or a down payment on a new home--or keep funds liquid. They offer a higher return than traditional deposits, and provide the very high security you want for savings you can't afford to risk.

TD offers a wide selection of Money Market investments. We describe them on the following pages. But first, here are the key features that all Money Market investments have in common.

  • Money Market investments are short-term investments of up to 18 months.
  • They provide very competitive rates of return and quick and easy access to your funds.
  • They are issued by governments, banks and corporations.
  • They are available in Canadian and U.S. dollars.
  • Money Market investments cost you less than their face value. You buy them "at a discount" today, and they mature at "par" (face value) at a future date. For example, to buy a 30-day $10,000 Treasury Bill, you invest less than $10,000. At maturity, your principal plus the interest it has earned over the 30 days will total $10,000.
  • Most are issued in "bearer form," which means they are payable to the person who possesses them (you). You don't have to worry about handling these bearer certificates. For your convenience and security, TD will hold them in safekeeping, free of charge.

Money Market investments provide quick access to your funds because they are fully marketable. That is, TD Canada Trust Bank will buy your investment back at the prevailing market rate if you should require access to your cash prior to maturity.

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