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What makes a Qualifying Money Market Fund unique?

Insight
10 November 2025 |
Liquidity
This document outlines what makes a fund ‘qualifying’ and why it’s worth considering a short-term sterling prime fund over bank deposits.
Why choose a QMMF?

Fast reading

  • Qualifying Money Market Funds (QMMFs) offer a compelling alternative to traditional bank deposits, combining capital preservation, liquidity, diversification and yield potential within a robust regulatory framework.
  • A QMMF must be a UK UCITS, authorised under the UK’s implementation of the UCITS Directive, and meet strict standards for liquidity, transparency, and risk management. This ensures suitability for protecting client money under FCA rules.
  • Federated Hermes’ UK-domiciled LVNAV Money Market Fund is designed to meet both regulatory and operational needs, offering a low-volatility, high-liquidity solution for protecting client money.

Why choose a QMMF?

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Why choose a QMMF?

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