FZEXX vs FDZXX: What Yield to Compare?

[MercyMe]

Fidelity's FZDXX (taxable money market fund)
7 Day yield: 3.82%

FZEXX (tax-exempt money market fund)
7 Day Yield: 3.27% but for my tax bracket the yield shows an equivalent of 5.34%

My dry powder is in FZDXX. Seems like a no-brainer to sell out of it and move into FZEXX.

Am I missing something?

 

[copyright1997reloaded]

Fidelity's FZDXX (taxable money market fund)
7 Day yield: 3.82%

FZEXX (tax-exempt money market fund)
7 Day Yield: 3.27% but for my tax bracket the yield shows an equivalent of 5.34%

My dry powder is in FZDXX. Seems like a no-brainer to sell out of it and move into FZEXX.

Am I missing something?

Probably not, but FZDXX current 7-day yield is higher than what you posted: 4.23%, 1 day is 4.26%

 

[gromit]

Fidelity's FZDXX (taxable money market fund)
7 Day yield: 3.82%

FZEXX (tax-exempt money market fund)
7 Day Yield: 3.27% but for my tax bracket the yield shows an equivalent of 5.34%

My dry powder is in FZDXX. Seems like a no-brainer to sell out of it and move into FZEXX.

Am I missing something?

The 7 day yield you're looking at for FZDXX is as of the end of the month (November). To see the current 7 day yield, choose the Performance & Risk tab above where you found the yield. Scroll down the Performance page and there is a current 7 day yield of 4.16 for FZDXX.

 

[MercyMe]

The 7 day yield you're looking at for FZDXX is as of the end of the month (November). To see the current 7 day yield, choose the Performance & Risk tab above where you found the yield. Scroll down the Performance page and there is a current 7 day yield of 4.16 for FZDXX.

Thanks. Any reason I shouldn't move to FZEXX?

 

[gromit]

Both are going to be well managed money market funds, holding different classes of paper. With set $1 values (and hopefully that never breaks) you can easily move in and out of them as often as you like as rates move.

 

[teej1985]

Why FZDXX over SPRXX ?

 

[MercyMe]

Why FZDXX over SPRXX ?

I was not aware of SPRXX. Having looked at it just now, I see it has a higher yield than FZDXX, but FZEXX nets a higher after-tax yield due to my tax bracket.

 

[gromit]

Why FZDXX over SPRXX ?

Because it pays more.
FZDXX is a premium fund and 7 day yield is 4.25 vs 4.13 for SPRXX.


If you follow this link you can also see the 1 day yields for yesterday.


https://institutional.fidelity.com/...ll&assetClassID=0&pos=L&redirectToPersisted=F

 

[audreyh1]

Check your dates carefully before comparing MM fund yields and make sure you are comparing the same date and the same period - e.g. 7 day yield.