Vanguard Cash Reserves Federal Money Market Fund (VMRXX)
Vanguard Cash Reserves Federal Money Market Fund (VMRXX) is a low-cost federal money market fund with one of the lowest expense ratios in its class. It posted a 3.60% 7-day yield with a 0.10% expense ratio as of May 29, 2026, per the issuer. A money market fund is a security held in a brokerage account — it's covered by SIPC, not FDIC, and the yield is not fixed.
Is the Vanguard Cash Reserves Federal Money Market Fund (VMRXX) worth it?
Vanguard Cash Reserves Federal Money Market Fund (VMRXX) is a low-cost federal money market fund with one of the lowest expense ratios in its class. As of May 29, 2026, the issuer reported a 3.60% 7-day yield and a 0.10% expense ratio, with a $3,000 minimum to invest. We source these figures from the The Vanguard Group fund page; they carry our ◆ Partner data label.
A money market fund is not a bank account — it’s a mutual fund you hold in a brokerage account. That means it’s covered by SIPC against brokerage failure, not by FDIC deposit insurance. The fund aims to keep a stable $1.00 share price, but that is a goal, not a guarantee.
The honest caveat: the 7-day yield moves daily with short-term rates, so the figure above is a snapshot, not a locked rate. Confirm the current yield on the issuer’s site. This is not financial advice.
How does a brokerage account work?
A brokerage account lets you buy and sell investments yourself — stocks, ETFs, and more. Leading brokers charge $0 commission on U.S. stocks and ETFs. Your money is typically SIPC-protected against the firm failing, but that does not protect against investment losses.
What are the pros and cons of the Vanguard Cash Reserves Federal Money Market Fund (VMRXX)?
The Vanguard Cash Reserves Federal Money Market Fund (VMRXX) stands out for 3.60% 7-day yield as of May 29, 2026, per the issuer, though a money market fund is a security — covered by SIPC, not FDIC insurance.
- 3.60% 7-day yield as of May 29, 2026, per the issuer
- Low 0.10% expense ratio
- Backed by a large, established fund manager
- A money market fund is a security — covered by SIPC, not FDIC insurance
- The 7-day yield is not fixed and moves with short-term rates
- Requires a $3,000 minimum to invest
Who should get the Vanguard Cash Reserves Federal Money Market Fund (VMRXX)?
The Vanguard Cash Reserves Federal Money Market Fund (VMRXX) is best for investors parking cash inside a brokerage account.
- Investors parking cash inside a brokerage account
- People who want a competitive yield with daily liquidity
- Anyone comparing core-position cash options
How does the Vanguard Cash Reserves Federal Money Market Fund (VMRXX) compare?
Among the 6 money market funds we track, the Vanguard Cash Reserves Federal Money Market Fund (VMRXX) ranks #2 with a money8020 score of 96/100.
| Product | Score | Tier | Provider |
|---|---|---|---|
| Fidelity Government Money Market Fund (SPAXX) | 96 | Essential | Fidelity Investments |
| Vanguard Cash Reserves Federal Money Market Fund (VMRXX) | 96 | Essential | The Vanguard Group |
| Vanguard Federal Money Market Fund (VMFXX) | 96 | Essential | Vanguard |
| Vanguard Treasury Money Market Fund (VUSXX) | 94 | Essential | The Vanguard Group |
| Fidelity Money Market Fund (SPRXX) | 85 | Strong | Fidelity Investments |
See all money market funds, ranked →
Common mistakes to avoid with a brokerage account
- Assuming "$0 commission" means no costs — options, margin, and broker-assisted trades can carry fees.
- Confusing SIPC protection with insurance against investment losses.
- Trading frequently and letting taxes and spreads erode returns.
- Holding uninvested cash that earns little instead of a swept high-yield option.
Key takeaways
- Vanguard Cash Reserves Federal Money Market Fund (VMRXX) earns a money8020 score of 96/100, ranking #2 of 6 money market funds.
- 3.60% 7-day yield as of May 29, 2026, per the issuer
- undefined.
- Best for investors parking cash inside a brokerage account.
- Rate and terms sourced from our verified data partner.
Frequently asked questions about the Vanguard Cash Reserves Federal Money Market Fund (VMRXX)
What is the yield on Vanguard Cash Reserves Federal Money Market Fund?
It posted a 3.60% 7-day yield with a 0.10% expense ratio as of May 29, 2026, per The Vanguard Group. The 7-day yield is variable and changes with short-term interest rates. This is not financial advice.
Is a money market fund FDIC insured?
No. A money market fund is a security held in a brokerage account, so it's protected by SIPC against brokerage failure — not by FDIC deposit insurance. Its value aims to hold at $1.00 per share but is not guaranteed.
Is my money safe in the Vanguard Cash Reserves Federal Money Market Fund (VMRXX)?
Brokerage accounts are typically SIPC-protected against the firm failing, but that does not protect against investment losses — the value of your holdings can fall.
Does the Vanguard Cash Reserves Federal Money Market Fund (VMRXX) really charge $0 commissions?
Leading brokers charge $0 commission on online U.S. stock and ETF trades. Other products — options contracts, broker-assisted trades, or margin — may still carry fees, so check the schedule.
Sources
We sourced these figures from our verified data partner and independently confirmed the provider’s regulator status, last checked May 30, 2026. Primary sources: