Money market funds (MMFs) in Malaysia offer higher returns than savings accounts with full daily liquidity โ no lock-in period unlike fixed deposits. In 2026, leading MMFs yield 3.5%โ4.2% per annum, beating most bank FDs. Here is how to choose the right one.
Best Money Market Funds Malaysia 2026
| Fund | Gross Yield (approx) | Min Investment | Platform |
|---|---|---|---|
| Kenanga Money Market Fund | 3.8%โ4.2% | RM1,000 | Kenanga Invest |
| PMB Shariah Money Market | 3.7%โ4.0% | RM1,000 | PMB Investment |
| Principal Money Market | 3.6%โ3.9% | RM1,000 | FSMOne, Principal |
| Versa Cash | 3.6%โ3.8% | RM1 | Versa app |
| StashAway Simple | 3.5%โ3.7% | RM1 | StashAway app |
| TNG GO+ | 3.5%โ3.6% | RM1 | Touch n Go eWallet |
How Money Market Funds Work
MMFs invest in short-term, low-risk instruments: bank deposits, government securities (MGS, GII), and short-dated corporate bonds. The NAV (net asset value) stays stable at RM1 per unit while income accrues daily. Returns fluctuate with the overnight policy rate (OPR) โ when BNM raises rates, MMF yields rise.
Is My Money Safe in a MMF?
MMFs are regulated by the Securities Commission Malaysia (SC). While not covered by PIDM deposit insurance (which covers bank deposits up to RM250,000), MMFs are extremely low risk due to their short-duration, high-quality holdings. No Malaysian MMF has ever broken NAV.
MMF vs FD vs Savings Account
MMF beats savings accounts on return and FDs on liquidity. The only scenario where FD wins: when promotional FD rates are offered (banks occasionally offer 4.0%+ for new deposits). Check both options before deciding.
Use our ๐ Compound Interest Calculator to project MMF growth against FD alternatives.
Our editorial team specialises in Malaysian personal finance โ covering loans, taxation, insurance, EPF, and Islamic finance. Every article is fact-checked against Bank Negara Malaysia (BNM), LHDN, and major Malaysian bank publications. We reference our calculators (which use industry-standard formulas) to ensure consistency between our written content and tools. Learn more about our methodology โ