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. Government Security

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

    A short-term debt obligation backed by the U.S. government with ...
  4. Risk

    The chance that an investment's actual return will be different ...
  5. Short Term

    1. In general, holding an asset for short period of time. 2. ...
  6. Treasury Index

    An index based on the auctions of U.S. Treasury bills, or on ...
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. What is the minimum amount of money ...
    Retirement

    What is the minimum amount of money ...

Hot Definitions
  1. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
  2. Wage-Price Spiral

    A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation. ...
  3. Accelerated Depreciation

    Any method of depreciation used for accounting or income tax purposes that allows greater deductions in the earlier years ...
  4. Call Risk

    The risk, faced by a holder of a callable bond, that a bond issuer will take advantage of the callable bond feature and redeem ...
  5. Parity Price

    When the price of an asset is directly linked to another price. Examples of parity price are: 1. Convertibles - the price ...
  6. Earnings Multiplier

    An adjustment made to a company's P/E ratio that takes into account current interest rates. The earnings multiplier is used ...
Trading Center