Investments Savings Accounts

 Here’s a side-by-side comparison of FZDXX, FDRXX, and SPAXX, three popular Fidelity money market funds:

Feature	FZDXX (Fidelity Money Market Fund Premium Class)	FDRXX (Fidelity Government Cash Reserves)	SPAXX (Fidelity Government Money Market Fund)
	Prime money market	Government money market	Government money market
	Corporate, financial, and government paper	U.S. government securities, repos	U.S. government securities, repos
	Slightly higher (includes some corporate debt)	Very low (government-only)	Very low (government-only)
	Slightly higher	Lower than prime funds	Similar to FDRXX, slightly variable
	~0.27%	~0.34%	~0.42%13
	High ($100,000/$10,000 IRA)	Low/None	None3
	No	Yes	Yes10
	Daily	Daily	Daily
	$1.00	$1.00	$1.00
	Higher yield for large balances	Brokerage core, sweep, safety	Brokerage core, sweep, safety
	Daily accrual, monthly payout	Daily accrual, monthly payout	Daily accrual, monthly payout2

•  and FDRXX are both government money market funds, holding almost exclusively U.S. government securities and repurchase agreements, making them extremely low risk and suitable as core or sweep accounts in Fidelity brokerage accounts210.

•  is a prime money market fund, which means it can invest in a wider array of short-term debt, including corporate paper, and typically offers a slightly higher yield in exchange for a marginal increase in risk.

•  is one of Fidelity’s default core account options and is widely used for cash management in brokerage accounts10. It has no minimum investment and daily liquidity3.

•  between SPAXX and FDRXX are usually minor, and both are lower than FZDXX, especially in stable or falling interest rate environments.

 if you want a higher yield and can meet the minimum investment.
 for maximum safety, liquidity, and easy use as a core or sweep account, with SPAXX being the most common default option at Fidelity.

1. https://www.marketwatch.com/investing/fund/spaxx
2. https://www.reddit.com/r/fidelityinvestments/comments/115lgd4/confusion_about_spaxx_money_market_fund/
3. https://www.morningstar.com/funds/xnas/spaxx/quote
4. https://www.dividend.com/funds/spaxx-fidelity-government-mmkt/
5. https://fundresearch.fidelity.com/mutual-funds/summary/31617H102
6. https://fundresearch.fidelity.com/mutual-funds/ratings/31617H102
7. https://institutional.fidelity.com/app/funds-and-products/458/fidelity-government-money-market-fund-spaxx.html
8. https://fundresearch.fidelity.com/mutual-funds/view-all/31617H102
9. https://fundresearch.fidelity.com/mutual-funds/analysis/31617H102
10. https://www.fidelity.com/mutual-funds/mutual-fund-spotlights/money-market-funds