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doctorpot1 shared · May 27, 2023 07:30

Earning around 30% yield on Money Market Funds in 3 months! How is that possible?

How is it possible that I can be earning around 30% yield on Money Market Funds when the advertised yield is close to 4%? What sort of black magic had been done? Well it is all thanks to hard work and dedication for the past years, and the generousity of Moo Moo.
doctorpot1: Earning an extra USD470 in 43days just by using the right tools. Knowledge is King!
In the post above, I did mentioned that the earning from Moo Moo's fund coupon is huge, but I did not reveal the actual amount. So today, let me unveil the curtain and show you the figures.
Earning around 30% yield on Money Market Funds in 3 months! How is that possible?
So for some context, in January to Mar 2023, Moo Moo released a 20SGD Fund Cash Coupon that we can exchange for 1500 point. These points are earned by joining Moo Moo events. I had managed to accumulate a lot of points and exchanged them. Every day, a limited amount of vouchers are release at 10am and 9pm. The vouchers are so popular that it is gone within seconds.
Earning around 30% yield on Money Market Funds in 3 months! How is that possible?
So everyday, we diligently camp at 9:59am and 8:59pm just to exchange our hard earned points for the fund coupons. Over the 3 months period, I managed to clocked SGD$1,340 (USD1,001.04) in extra fund earning thanks to the fund coupons given by Moo Moo.
Earning around 30% yield on Money Market Funds in 3 months! How is that possible?
To use the coupon, we need to park SGD$20,000 into $Fullerton SGD Cash Fund (SG9999005961.MF)$ or $CSOP USD Money Market Fund (SGXZ96797238.MF)$. So SGD$1,340 return on SGD$20,000 investment in 3 months, that is an annual return of 26.8%. This is on top of the almost 4% returns that the Money Market Fund is giving. Therefore, for that period, I had made around 30% return on Money Market Funds. If I were to account for the gains from selling options, the returns will be much higher, but let's just focus on the funds only in this post.
Moo Moo have a lot of promotions and events. They are very generous with cash coupons and vouchers. So if you don't want to miss out on the amazing promotions and events that Moo Moo have, do join our group chat where we share all these events Just search promo and choose Groups and you can join both groups.
Earning around 30% yield on Money Market Funds in 3 months! How is that possible?
However, such crazy returns is an abnormality, so moving forward I doubt I can get such crazy returns again. Even so, Moo Moo's cash plus still gives great returns on its own. While stocks price are crashing, Moo Moo's cash plus is giving us profit every single day. In the last 3 months, my cash plus had earned an extra SGD$235.76.
Globally, there is a net inflow of $9.96 billion into Money Market Fund in a week, while there is a net outflow of $8.72 billion out of equity funds (source: Global equity funds post outflows for fifth week in a row). Given the uncertainty and the volatility in the market, and the rising interest rate, Money Market Fund had became a very good investment opportunity. I will still be investing into Money Market Fund moving forward
Total fund returns in May 2023
Total fund returns in May 2023
Total fund returns in May 2023
Total fund returns in May 2023
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doctorpot1
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crawled out of poverty, working towards FIRE!! (financial independence, retired early)
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