Which of the money market securities is the most liquid and considered the most risk-free? Why?

Question

Question

Which of the money market securities is the most liquid and considered the most risk-free? Why?

Answer 1

Answer #1

Treasury bills are most liquid and most risk free money market securities.

They are risk free since they are issued by US goverment and so they will never default on its obligations

They are liquid since they trade in very huge volumes and you can enter into transaction at anytime

Answer 2

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