Business and Personal Finance Dictionary

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• MONEY MARKET INSTRUMENT
  
  The broadest definition of a money market instrument is a short-term debt instrument that is purchased from a broker, dealer, or bank. Sometimes the term "money market" is used more restrictively by further defining short-term to mean an instrument with no more than 12 months remaining from the purchase date until the maturity date. (The remaining life of the instrument is the basis for the definition rather than the its original term.) Sometimes money market is used more restrictively to mean only those instruments that have active secondary markets. Definitions of money market instruments that only include instruments with active secondary markets exclude non-negotiable investments such as most bank certificates of deposit.
  
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