# Money market funds **URL:** \ **Category:** General\ **Created:** [18 June 2024 15:20 UTC](https://community.investengine.com/t/money-market-funds/1741 "2024-06-18T15:20:21Z")\ **Posts on this page:** 3\ **Page:** 1
**Author:** ![Christopher](https://avatars.discourse-cdn.com/v4/letter/c/439d5e/32.png) [@Christopher](https://community.investengine.com/u/Christopher)\ **Post date:** [18 June 2024 15:20 UTC](https://community.investengine.com/t/money-market-funds/1741/1 "2024-06-18T15:20:21Z")
I want to add a money market fund to my portfolio as a stable, low-risk component, but I don’t know much about these kinds of funds. It looks like I currently have a simple choice between two options: CSH2 and XSTR. Can anyone enlighten me on the pros and cons between these two funds? Thanks! 🙂 ---
**Author:** ![Spear](https://avatars.discourse-cdn.com/v4/letter/s/eb9ed0/32.png) [@Spear](https://community.investengine.com/u/Spear)\ **Post date:** [18 June 2024 21:50 UTC](https://community.investengine.com/t/money-market-funds/1741/2 "2024-06-18T21:50:17Z")
As far as I know the biggest differences are that one is accumulating and the other is distributing. CSH2 also has slightly lower TER. I dont see any reason not to go with CSH2. It is all round better IMHO ---
**Author:** ![TRS80](https://avatars.discourse-cdn.com/v4/letter/t/34f0e0/32.png) [@TRS80](https://community.investengine.com/u/TRS80)\ **Post date:** [19 June 2024 11:44 UTC](https://community.investengine.com/t/money-market-funds/1741/3 "2024-06-19T11:44:11Z")
Accumulating funds are best used in an ISA - otherwise it’s a pain finding out the excess reportable income (ERI) for tax purposes; [Accumulation units – tax on reinvested dividends UK - Monevator](https://monevator.com/income-tax-on-accumulation-unit/) Using distributing mm funds in a GIA requires thought depending on wether you want capital gains or interest income