The money market deals with short-term debt papers of maturity below a year. Investors seeking liquidity low risks use it largely in managing their short-term cash requirements.

• CDs: The bank offers CDs, and they have a fixed rate of interest for a fixed term. They are very secure but insured by the bank and may not be withdrawn before the maturity date.

• Commercial paper: It is an unsecured short-term debt offered by corporations to manage short-term funding. It is a highly liquid instrument with returns somewhat better than those of treasury bills.