Cash yields at Vanguard, Schwab, and Fidelity vary from 3.35% to 3.64%

Investors with idle cash can now compare yields across Vanguard, Schwab, and Fidelity. The latest data shows Vanguard’s Federal Money Market Fund (VMFXX) offers the highest return at 3.64%, while Schwab’s Prime Advantage Money Fund Investor Shares (SWVXX) yields 3.60% and Fidelity’s Government Money Market Fund (SPAXX) sits at 3.35%.

These rates, based on average 7‑day SEC yields, give investors a clear benchmark for deciding whether to keep cash in a brokerage money market fund or shift it to a higher‑yielding savings account. A hybrid strategy—maintaining a cash cushion at the brokerage and moving excess to a top‑paying savings account can maximize earnings.

The Federal Reserve’s recent rate hike and projected future increases suggest that locking in a CD at 4.35% to 5.00% for 3‑to 5‑year terms could further boost returns. By monitoring rates from over 200 institutions, investors can lock in competitive yields and avoid early withdrawal penalties.

Read the full story at investopedia.com.