The Globe and Mail reports in its Friday edition that a record-high $7-trillion (U.S.) is currently sitting in money market funds (MMFs), but expectations for this cash to flow into wider investments may be unfounded. A Reuters dispatch to The Globe reports that many analysts believe this cash will shrink as the U.S. Federal Reserve cuts interest rates, encouraging investors to seek better returns. If the Fed and the upcoming Trump administration achieve a "soft landing," equities and bonds could become more attractive. However, the financial landscape has changed dramatically since the pandemic. Traditional investment rules no longer seem effective. Despite the Fed's aggressive rate hikes, the stock market has soared and unemployment remains low. With the yield curve inverted for two years and no recession in sight, geopolitical tensions have led to declining oil prices. In this unpredictable environment, MMFs remain a popular choice for investors. They provide higher interest rates than rival chequing accounts and traditional fixed-income assets like Treasuries, which are preferred for liquidity and safety. Typically, longer-dated bonds yield more than MMFs in "normal" times due to a positively sloped yield curve.