Short-Term Investment Fund - STIF

AAA

DEFINITION of 'Short-Term Investment Fund - STIF'

A type of fund that invests in short-term investments of high quality and low risk. The goal of this type of fund is to protect capital with low-risk investments while achieving a return that beats a relevant benchmark such as a Treasury bill index.

INVESTOPEDIA EXPLAINS 'Short-Term Investment Fund - STIF'

Short-term investment funds include cash, bank notes, corporate notes, government bills and various safe short-term debt instruments. These types of funds are usually used by investors who are temporarily parking funds before moving them to another investment that will provide higher returns. These funds traditionally have low management fees, usually well below 1% per year.

RELATED TERMS
  1. Money Market Fund

    An investment fund that holds the objective to earn interest ...
  2. Treasury Index

    An index based on the auctions of U.S. Treasury bills, or on ...
  3. Grandfathered Bond

    A classification for bonds in the European Union that excludes ...
  4. Income Risk

    The risk that the income stream paid by a fund will decrease ...
  5. Government Security

    A bond (or debt obligation) issued by a government authority, ...
  6. Treasury Bill - T-Bill

    A short-term debt obligation backed by the U.S. government with ...
Related Articles
  1. Introduction To Money Market Mutual ...
    Mutual Funds & ETFs

    Introduction To Money Market Mutual ...

  2. I have a short period of time (1 year ...
    Options & Futures

    I have a short period of time (1 year ...

  3. The Money Market
    Retirement

    The Money Market

  4. Will ETFs Eventually Replace Mutual ...
    Mutual Funds & ETFs

    Will ETFs Eventually Replace Mutual ...

comments powered by Disqus
Hot Definitions
  1. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  2. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  3. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  4. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  5. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  6. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
Trading Center