Active funds vs. Money market funds. Mutual Fund Definition However mutual funds are considered a bad investment when investors consider certain negative factors to. Mutual funds meaning money market . Ultra-short bond funds are mutual funds that generally invest in fixed income securities with extremely short maturities or time periods in which they become due for payment. While some mutual funds are index funds which aim to track the performance of a specific market index most are actively managed meaning fund managers follow an investment strategy to buy and. Mutual funds are considered relatively safe investments. Vanguard offers a broad selection of no-load mutual funds meaning there are no sales fees on either the front end or. A money market mutual fund is a type of mutual fund that invests in high-quality short-term debt instruments cash and cash equivalents. Like other bond mutual funds ultra-short bond funds may invest in a wide range of securities including corp