What is a money market account and is it a good way to invest money?

looking for a good solid way to invest money with the best return rate

Here's a site that describes MMA's.
http://en.wikipedia.org/wiki/Money_marke...

A MMA is a ok place to park money, but you can get a much better return on your money using stocks and/or mutual funds. Of course, all this depends on your goals and your risk tolerance.

Pays you interest on what would otherwise be a free checking account.

May or may not be insured by the FDIC.

Best return = highest risk. My bet is you can't afford the risk - so S&P Spiders would be about as risky as I would get with lowest load.

Yes.

A money market is a mutual fund that purchases short-term fixed-income securities such as commerical paper an Treasury bills.

A money market account (MMA) is an investment that approximates the return on risk-free investments (e.g., 13-week T-Bill). The return will fluctuate though as interest rates rise an fall. At one point a couple of years ago, the return on a MMA was about 1%. It is now about 5%.

Those returns are far below the historical returns for stocks, as expressed by the S&P 500. That index has a long-term average of about 10% per year, but there is risk. Bear markets do occur. You have to be able to hold for a reasonably long time, perhaps a market cycle of two.

Investment by its nature is meant to be a long-term program. Young people who can put the funds away for a long time should consider stocks, not money market funds. But one should also be able to handle the ups and downs of the market.

it is basically a savings account without the FDIC insurance. it is not a good investment unelss your objecitve is to keep up with inflation

This info has provided me with the most of the information I currently know. Anyway, if you want some extra help take a look at this site at http://v7v.blogspot.com/

Thanks in advance.