Tag: Certificates of deposit

As of October 2025, the national average money market account rate was approximately 0.59%, while top-tier high-yield savings accounts offered over 4% APY, illustrating that there is no single "average" EAR across all products. The Effective Annual Rate (EAR) is the true annual rate of return or cost after accounting for compounding interest.

According to financial experts, while no investment is completely risk-free, certain vehicles offer a high degree of capital preservation. Understanding which of the following is considered low risk is the first step for conservative investors seeking to build a stable financial foundation and protect their hard-earned savings.