Yields on cash-equivalent investments like money market funds , certificates of deposit and Treasury bills follow the Federal Reserve 's interest-rate moves. A record $6.77 trillion is sitting in money market funds, as of the week ended Dec. 4, according to the Investment Company Institute . Money market funds, with 12-months yields about 5%, averaged around a 7.34% return during that same time period, Alvarado said. Locking in income Investors' portfolios should be tailored to their time horizon and risk profile, Queen said. UBS is also advising investors to shift excess cash into assets that provide higher and more durable sources of income.

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Persons: Peter Crane, Crane, Donald Trump, Cash, Luis Alvarado, Alvarado, Mark Haefele, Haefele, John Queen, Queen, Wells Fargo Organizations: Federal, Investment Company Institute, Fed, Crane, Bureau of Labor Statistics, Vanguard, Wells, Wells Fargo Investment Institute, Morningstar U.S, Fund, UBS, UBS Global Wealth Management, Capital Group, Wells Fargo Investment Group Locations: Wells Fargo, Asia