# Money market funds Managed by BlackRock Make your money work even harder for you, in today’s high interest rate environment. When you invest, your capital is at risk 2.24% APY Make your money work even harder for you, in today’s high interest rate environment. Managed by BlackRock, multi-currency, and instant withdrawals. ### Low risk Your money is segregated from Lightyear assets at all times. Available BlackRock funds are AAA rated and have a low risk level of 1 out of 7. ### Low pricing Lightyear's annual fees of 0.10%. We have money market funds in euros, dollars and pounds. ### High liquidity Due to their regulatory requirements, money market funds are highly liquid. Withdrawals aim to be instant and arrive back into your Lightyear account. ## Managed by BlackRock Your money is held in BlackRock’s low-risk money market funds. ### Held in AAA rated, low-risk funds Your money will be held in a low-risk, interest-paying fund that is managed by BlackRock. ### Managed by BlackRock BlackRock is the world’s largest asset manager, with over $10 trillion managed for people and businesses across the world. ## Transparent fees included To preserve your principal deposit, we deduct these fees from your interest payments. ## Managing risk with money market funds The BlackRock funds we’ve chosen have a risk level of 1/7 and a AAA credit rating for good reasons. ### Credit and concentration risk The funds we offer have over 300 holdings. Money market fund regulations require that a single holding can’t account for more than 5% of all holdings — making money market funds a very diversified asset class. ### Liquidity risk Under regulatory requirements, 10% of a money market fund has to be invested in daily maturing assets. For the funds we offer, between 20-50% of assets mature daily, ensuring high liquidity and instant withdrawals for customers. ### Interest rate risk The longer the maturity of an instrument is, the more sensitive it is to interest rates changing. The average maturity for our GBP fund is 45 days, keeping your interest rate risk low. ## Keeping your money safe Trusting us with your investments is something we do not take for granted. ### Multi-country regulation - Regulated in the UK by the FCA: We’re authorised and regulated by the Financial Conduct Authority ([FRN 987226](https://register.fca.org.uk/s/firm?id=0014G000034WTPOQA4)). Lightyear UK Ltd is a company registered in England and Wales with company number 14367910. - Regulated in the EU by EFSA: We’re authorised and regulated by the Estonian Financial Supervision Authority (4.1-1/31 and 4.1-1/147) and authorised to operate across the European Union. ### Government insurance - Your US securities are SIPC protected up to $500,000: Your US securities are held with our partner Alpaca, who is FINRA regulated and a registered member of the Securities Investor Protection Corporation (SIPC). - EU investor protections insure up to €20,000 across your portfolio: Your assets are covered up to the amount €20,000 by the Estonian Investor Protection Sectoral Fund. Crypto-assets are not covered by any investor compensation scheme in the EU. ### Safeguarding your assets - We safeguard your cash with authorised banks & financial institutions: Customer funds are held in a mix of AAA-rated BlackRock and J.P. Morgan Asset Management Money Market Funds and cash in authorised commercial banks. Your money is always kept separate from ours. - Your assets are yours, no one else’s: Your assets are yours, no one else’s. You are the owner of all your investments, and your assets are held in separate accounts. Your assets can’t be touched by our creditors and in the unlikely event of Lightyear’s insolvency, everything is returned to you. Your crypto-assets are no different. ## Questions a curious person might ask ### Are there fees? The rate shown (**2.24% APY**) is what you get after fees, compounded monthly over a year. Lightyear's annual fee is 0.10% for EUR and GBP funds, and 0.15% for USD. Fund manager fees apply. 2.42% - 0.20% fees = 2.22% (**2.24%** when compounded). ### What is a money market fund? A money market fund is a low-risk investment that aims to give you a slightly higher return than cash. Unlike most funds that invest in bonds or shares, it invests in short-term debt. This short-term debt is bought from by governments, banks and companies with strong balance sheets and high credit ratings. In exchange, they pay interest to the fund. Lightyear Savings allows you to invest in money market funds. As with all investments, the value can go up as well as down. The yield generated by these funds changes daily and may also move in an unfavourable direction. The prospectuses and Key Information Documents of these funds are available in our app and website, and on BlackRock’s website. ### Who are BlackRock? BlackRock is the world’s largest asset manager, with over $10 trillion managed for people and businesses across the world. ### What countries is Savings available in? Savings is available in Austria, Denmark, Estonia, Finland, France, Germany, Hungary, Italy, Latvia, Lithuania (EUR only), Luxembourg, Malta, Netherlands, Spain, Sweden, and the UK through BlackRock. Through J.P. Morgan Asset Management, the product is available in Bulgaria, Croatia, Cyprus, Greece, Ireland, Portugal, Slovakia and Slovenia. ### How is the APY rate calculated? APY represents the estimated interest rate you earn over the course of a year, taking into account monthly compounding. The interest distribution is paid to your Lightyear account on the 1st business day of every month and is automatically reinvested to the same fund. If you want to disable the auto-reinvesting function, you can do that in the [Savings feature in the app](/help/trading-and-investments/vaults-money-market-fund-mmf). --- Canonical: https://lightyear.com/en-be/money-market-funds