7 Passive Income Ideas to Make Money & Build Wealth in 2024

5. Money Market Funds

Money market funds are a type of mutual fund that invests in short-term, low-risk securities like treasury bills, certificates of deposit, commercial paper, and other highly liquid, low-risk assets. These funds are designed to provide investors a relatively safe place to park their cash while earning a passive income.

As of March 2024, some institutions, such as Quontic Bank and Vio Bank, are offering annual percentage yields of 5% and 5.3%, respectively.