How is Jiko different from a Money Market Fund?
Money Market Funds (MMFs) pool client assets and invest in a mix of short-term instruments, some of which may carry counterparty risk. Investors own shares in the fund, not the underlying assets, which introduces added layers of risk, management fees, and limited transparency. With Jiko, clients own U.S.
Money Market Funds (MMFs) pool client assets and invest in a mix of short-term instruments, some of which may carry counterparty risk. Investors own shares in the fund, not the underlying assets, which introduces added layers of risk, management fees, and limited transparency.
With Jiko, clients own U.S. Treasury bills directly, in their name, through a regulated bank and broker-dealer. There are no fund wrappers, no hidden counterparties, and no unnecessary intermediaries between clients and their funds.
For treasurers looking to store cash while optimizing for safety, yield, and liquidity, the experience may feel similar to a Money Market Fund, but Jiko offers a key advantage: clients can access cash and make payments just like a traditional bank account, staying invested in T-bills and earning yield until the moment of the transaction or withdrawal.
Want a deeper comparison? Read our blog on the risks of MMFs vs. T-bills.