Any financial people out there?
I have my 401 with Fidelity now and have exited the market. What's left, ouch, is in two different funds:
- FDRXX Fidelity Government Cash Reserves
- SPAXX Fidelity Government Money Market Fund
My question: I was reading through the funds overview and neither of these funds are FDIC insured. Is this something I should be concerned about?
(04-03-2020, 12:42 PM)PF* Wrote: [ -> ]Any financial people out there?
I have my 401 with Fidelity now and have exited the market. What's left, ouch, is in two different funds:
- FDRXX Fidelity Government Cash Reserves
- SPAXX Fidelity Government Money Market Fund
My question: I was reading through the funds overview and neither of these funds are FDIC insured. Is this something I should be concerned about?
They don't need to be FDIC insured. They hold US government obligations.
No, you should not be concerned at all.
Thanks, TRM. I saw the G word in there but just wasn't sure.
(04-03-2020, 12:42 PM)PF* Wrote: [ -> ]Any financial people out there?
I have my 401 with Fidelity now and have exited the market. What's left, ouch, is in two different funds:
- FDRXX Fidelity Government Cash Reserves
- SPAXX Fidelity Government Money Market Fund
My question: I was reading through the funds overview and neither of these funds are FDIC insured. Is this something I should be concerned about?
Those are both mutual funds which aren't typically FDIC insured but since they're invested in Government securities are about as safe as you can expect to get. Money market accounts are FDIC insured, whereas mutual funds aren't.