State Spefic Municipal money market funds

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Topic Author
Connemara
Posts: 69
Joined: Tue Dec 31, 2019 12:21 pm

State Spefic Municipal money market funds

Post by Connemara »

Hi, my brokerage account is at Fidelity. I am in a high tax bracket. I have my cash parked in FSPXX - California municipal money market fund. Is there any recommendation regarding only keeping a certain percentage of money market funds in a state specific fund as there might be for state specific bond funds. For instance I often see recommendations such as don’t invest more than half of your municipal bond funds in a state specific bond fund ( Bill Bernstein , among others ). Does the same analysis apply to state specific money market funds ? Is it reasonable to keep all my cash in FSPXX or should I split it up and put some percentage in another money market fund such as FDLXX - Fidelity Treasury only money market fund ? I am assuming money market funds would have less state specific risk than a bond fund. I appreciate any insight members can offer, Thanks.
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retired@50
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Re: State Spefic Municipal money market funds

Post by retired@50 »

Connemara wrote: Tue Apr 02, 2024 9:44 am ... Does the same analysis apply to state specific money market funds ?
If it does, I've not read it from Bernstein (or anyone else), or seen it mentioned on the Bogleheads forum.

Regards,
"All of us would be better investors if we just made fewer decisions." - Daniel Kahneman
Topic Author
Connemara
Posts: 69
Joined: Tue Dec 31, 2019 12:21 pm

Re: State Spefic Municipal money market funds

Post by Connemara »

Thanks for your response.
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