Return on Money Market Fund

The money market fund managed by NTUC Income offers a return that is linked to the money market.

The fund charges a very modest 0.25% p.a. to cover our expenses. The rest of the return is given to the investor.

The actual monthly return from the money market fund (net of charges) was:

 
31-May-06  0.31%
30-Jun-06  0.11%
31-Jul-06  0.23%
31-Aug-06  0.29%
30-Sep-06  0.20%

The average is 0.22% per month, or 2.7% per annum.

I have decided to transfer $100,000 from my bank (which earns about 1%) into the money market fund.