Money Market investments are ways for governments and corporations to raise capital. These short-term investments (up to 12 months) have a fixed rate of return held to maturity. That means you’ll know how much your investment will yield at the end of your term. Plus, your funds remain liquid so you have easy access to your money. Money market investments are sold at a "discount" to the "par" (maturity) value. The difference between the discounted price and the par value amount is the interest received on the investment.
Get fixed rates of return that may be higher than traditional savings accounts.
Terms of Money Market investments are up to 12 months.
Maintain easy access to your money during the term of your investment.
Take a look at the Money Market options available to you.Find out more
A Money Market investment is a good option if you’re looking to save for:
At TD you have a wide range of Money Market investments that can help you reach your short-term savings goals. With predictable returns, you can save toward a car or a down payment for your new home while your funds remain liquid.
Government of Canada Treasury Bills offer a client security as they are fully guaranteed by the federal government. Principal and interest is a direct obligation of the Government of Canada, no matter how much you invest. Government of Canada T-Bills are available in U.S. dollars as well as Canadian dollars, and both are considered Canadian content within your RSP/RRIF.The highlights:
Government Guaranteed Commercial Paper investments are short-term promissory notes issued by Crown Corporations (e.g. the Canadian Wheat Board, The Federal Business Development Bank) and fully guaranteed by the Government of Canada, no matter how much you invest. They offer the same high quality as Government of Canada T-Bills, but pay a slightly higher rate of return. Many Crown Corporations issue commercial paper denominated in U.S. as well as Canadian dollars, and both are considered Canadian content within your RSP/RRIF.The highlights:
Provincial Treasury Bills and Promissory Notes offer attractive interest rates and are fully guaranteed by the issuing province. They may offer higher yields than Government of Canada T-Bills. Plus, every penny of principal and interest is a direct obligation of the issuing province, no matter how much you invest. Even if you normally hold your investments to maturity, it is nice to know that T-Bills are fully marketable and can be sold at market value at any time.The highlights:
Bankers' Acceptances are short-term promissory notes issued by corporations with the unconditional guarantee of a major Canadian chartered bank, for any investment amount. When issued directly by a financial institution such as a chartered bank, they are known as Bearer Deposit Notes (BDNs). They have the same high quality as the guaranteeing bank and usually offer a higher return than Government of Canada T-Bills.The highlights:
Commercial Paper investments are short-term promissory notes issued by major corporations. They provide the highest yield available for a short-term investment. Commercial paper is a direct obligation of the issuing corporation and is available in U.S. denominations for those seeking currency diversification.The highlights:
We’ve provided answers to some of the most common questions people have about Money Market investments.
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 maintain easy access to your money during the term of your investment. They may offer a higher return than traditional savings options, and backed by the government, they provide the very high security you want for savings you can't afford to risk.
Money Market investments are a low risk investment. Your principal and return are guaranteed by the issuer however they are not CDIC insured.
Money Market products are short-term investments of up to 12 months. If you are looking to invest for longer than 12 months, Fixed Income investments are a great option.
A T5008 and/or an NR4 will be issued based on your residency.
The income (money) you earn on your principal.Issuer
The government, corporation or organization that commits to honour the terms of your investment.Liquidity
Refers to the ability to access funds.Principal
The initial amount invested.Risk
The possibility of losses being suffered or the uncertainty of future returns. Risk can take several forms, some of which are financial risk, political risk, operational risk, environmental risk.Term
The duration on the investment.Maturity
When your investments meets the end of its term.