Wealthy PotFZFXX Review (2026): Fidelity Treasury Money Market Fund
FZFXX, Fidelity Treasury Money Market Fund, holds U.S. Treasury securities and Treasury repurchase agreements, and Fidelity lists it as a core-position option for non-retirement accounts. It suits Fidelity customers in taxable accounts who want more of their cash yield free of state tax than SPAXX gives. The one thing to know: 61.52% of its 2025 income was from U.S. government securities, but it missed the California, Connecticut and New York test, so residents there got no state exemption.
By Wealthy Pot Editorial · Facts checked October 18, 2026
Facts checked October 18, 2026 against FZFXX's own prospectus, SEC filings, fund page and tax documents (12 sources, listed below). We re-check prices about once a month. We do not earn a commission from Fidelity for this fund.
FZFXX at a glance
| Type | Government money market fund investing in Treasuries and Treasury repos; seeks a stable $1.00 share price (not guaranteed) [1] |
|---|---|
| 7-day yield | 3.52% on September 30, 2026 (latest Form N-MFP3); it changes daily [7] |
| Expense ratio | 0.42% (0.25% management fee plus 0.17% other expenses); no fee waiver on this share class [1] |
| Minimum | None ("There is no purchase minimum for fund shares.") [1] |
| State tax, 2025 | 61.52% of income from U.S. government securities; did not meet the California, Connecticut and New York minimum [4] |
| Core position | A listed core option for non-retirement accounts; not listed for retirement accounts [5] |
| Liquidity fee | None: "The fund will not impose a fee upon the sale of your shares." [1] |
| Dividends | Declared daily, paid monthly [3] |
| Fund assets | $47.8 billion across the fund, $42.2 billion in this share class (September 30, 2026) [7] |
| Adviser | Fidelity Management & Research Company LLC, with sub-advisers [1] |
| Started | Fund August 31, 1983; FZFXX share class April 6, 2015 [2] |
FZFXX 7-day yield over the past year
The 7-day yield is the fund's income over the past seven days, after expenses, stated as a yearly rate. It changes every day with short-term interest rates. FZFXX reported 3.52% on Sep 30, 2026, against 3.91% on Sep 2, 2025.
Month-end yields, assets and maturity
| Month end | 7-day yield | Fund assets | Avg. maturity (WAM) | Avg. life (WAL) |
|---|---|---|---|---|
| Sep 2026 | 3.52% | $47.8 billion | 33 days | 94 days |
| Aug 2026 | 3.35% | $48.4 billion | 37 days | 94 days |
| Jul 2026 | 3.32% | $47.8 billion | 43 days | 99 days |
| Jun 2026 | 3.32% | $47.5 billion | 43 days | 105 days |
| May 2026 | 3.27% | $47.2 billion | 44 days | 108 days |
| Apr 2026 | 3.31% | $47.1 billion | 39 days | 105 days |
| Mar 2026 | 3.31% | $47.7 billion | 40 days | 102 days |
| Feb 2026 | 3.32% | $46.1 billion | 34 days | 101 days |
| Jan 2026 | 3.33% | $45.5 billion | 40 days | 105 days |
| Dec 2025 | 3.43% | $46.3 billion | 30 days | 93 days |
| Nov 2025 | 3.59% | $44.8 billion | 39 days | 105 days |
| Oct 2025 | 3.69% | $44.5 billion | 42 days | 109 days |
| Sep 2025 | 3.77% | $44.5 billion | 39 days | 103 days |
What $10,000 earned over the last 12 months
Compounding each day's reported 7-day yield over the 12 months to Sep 30, 2026, $10,000 left in FZFXX would have earned about $345 before taxes. That is our arithmetic on the fund's own yields; actual dividends can differ slightly. Past yields do not predict future ones: money market yields move with the short-term interest rates the Federal Reserve sets.
What FZFXX holds
At the end of Sep 2026 the fund held 158 positions worth $47.8 billion across all share classes ($42.2 billion in the FZFXX class). The SEC classifies it as a Government money market fund.
- Weighted average maturity: 33 days. How soon, on average, the holdings reset to new rates. A shorter WAM means the yield follows Fed rate changes faster, in both directions.
- Weighted average life: 94 days. The same measure without counting interest-rate resets on floating-rate holdings, a gauge of credit exposure.
- Liquid assets: 90.0% daily, 99.0% weekly on Sep 30, 2026: the share of the fund that could turn into cash within one business day or one week.
- Market-based value per share: $0.9998 to $1.0001 during Sep 2026. The fund aims to keep a $1.00 share price; this is what each share's holdings were actually worth at market prices.
Source: FZFXX's Form N-MFP3 filings, SEC EDGAR (filing list), latest for Sep 2026. Updated monthly.
How FZFXX works
FZFXX normally keeps at least 99.5% of its assets in cash, U.S. Treasury securities and repurchase agreements backed by them, and tries to hold its share price at $1.00. Dividends are declared daily and paid monthly. Fidelity lists it, as "Fidelity Treasury Fund (FZFXX)", among the core-position choices for non-retirement accounts, so cash from deposits and sales can sit in it automatically. The SEC filing section on this page shows its yield history and its split between Treasury bills and Treasury repos.
That split is why its state-tax share is not close to 100%. Interest on Treasuries is exempt from state tax, but income from repurchase agreements is generally state-taxable even when Treasuries back them. For 2025, Fidelity reports 61.52% of FZFXX's income came from U.S. government securities, against 50.90% for SPAXX. A hypothetical: $10,000 earning a round 3.50% pays $350. In a state that allows the subtraction, $350 x 61.52% = $215.32 is exempt and $134.68 is taxed; at a 6% rate that is $134.68 x 0.06 = $8.08, leaving $341.92, about 3.42% after state tax. The same balance in SPAXX at the same yield would owe $10.31.
Residents of California, Connecticut and New York do not get that benefit. Those states look at whether at least half the fund's assets were U.S. government obligations at the end of each quarter, and Fidelity says FZFXX did not meet that minimum for 2025, so all $350 would be state-taxable there ($21.00 at 6%). Federal income tax applies to the whole amount everywhere.
Pros
- A Fidelity core option for taxable accounts, so cash earns a yield with no trade
- More state-tax-exempt income than SPAXX in 2025 (61.52% against 50.90%)
- At least 99.5% in cash, Treasuries and repos backed by Treasuries
- No purchase minimum and no fee on redemptions
Cons
- Missed the CA/CT/NY threshold in 2025, so no exemption in those states
- Not listed as a core option for retirement accounts
- Same 0.42% expense ratio as SPAXX
- Not FDIC-insured
Who FZFXX fits, and who should skip it
A good fit if
- You have a taxable Fidelity account and want a core position with more state-tax-exempt income than SPAXX.
- You live in a state with an income tax other than California, Connecticut or New York.
- You prefer a fund that holds Treasuries and Treasury repos rather than agency debt.
Limitations to know
- For 2025, the fund did not meet the minimum investment in U.S. government securities that California, Connecticut and New York require to exempt its dividends. [4]
- Connecticut requires at least 50% of a fund's assets in federal obligations at the close of each quarter for the exemption to pass through. [12]
- Repurchase agreements, including those involving U.S. government obligations, are generally subject to state and local taxes, which caps the exempt share of a fund that holds repos. [9]
- Fidelity's FAQ lists FZFXX as a core option for non-retirement accounts only. [5]
FZFXX compared with alternatives
| Fund | Type | Yield | Expense ratio | Minimum | State tax | Sweep |
|---|---|---|---|---|---|---|
| FZFXX | Treasury | 3.52% (7-day yield, Sep 30, 2026, SEC filing) | 0.42% | $0 | Partly state-tax-exempt (61.5% U.S. government obligations, 2025, below the CA/CT/NY threshold) | Yes, available as a Fidelity core position in taxable brokerage accounts |
| SPAXX | Government | 3.48% (7-day yield, Sep 30, 2026, SEC filing) | 0.42% | $0 | Partly state-tax-exempt (50.9% U.S. government obligations, 2025, below the CA/CT/NY threshold) | Yes, one of Fidelity's core position choices (the FDIC sweep is the other option in some accounts) |
| FDLXX | Treasury | 3.48% (7-day yield, Sep 30, 2026, SEC filing) | 0.42% | $0 | Largely state-tax-exempt, 98.7% U.S. Treasury (2025); qualified for the CA/CT/NY exclusion | No, buy/sell it manually (not a default core position) |
| SNSXX | Treasury | 3.53% (7-day yield, Sep 30, 2026, SEC filing) | 0.34% | $0 | Largely state-tax-exempt, a U.S. Treasury fund (~100% Treasury holdings) | No, bought manually |
| VUSXX | Treasury | 3.80% (7-day yield, Sep 30, 2026, SEC filing) | 0.07% | $3,000 | Fully state-tax-exempt, 100% U.S. Treasury (2025); met the CA/CT/NY threshold | No, a purchased fund ($3,000 minimum) |
- Pick SPAXX if you need a Fidelity core option that also works in retirement accounts.
- Pick FDLXX if you live in a high-tax state, including CA, CT or NY, and can buy and sell the fund yourself.
- Pick SNSXX if you bank with Schwab and want a Treasury fund that met the CA/CT/NY test.
- Pick VUSXX if you use Vanguard, can meet a $3,000 minimum and want a 0.07% expense ratio.
Security and privacy
- As a government money market fund under SEC rule 2a-7, it keeps at least 99.5% of its total assets in cash, Treasury securities and repurchase agreements for those securities. [1]
- Since the SEC's 2023 reform, money market funds must hold at least 25% of total assets in daily liquid assets and 50% in weekly liquid assets. [8]
- Redemption gates were removed on October 2, 2023, and this fund says it will not charge a fee when you sell. [8]
- It is not a bank deposit: mutual funds are not FDIC-insured, even when bought through a bank. [11]
- SIPC protects money market fund shares as securities if the brokerage holding them fails (up to $500,000 per customer), but it does not protect against a loss in value. [10]
Recent changes
| Date | What changed |
|---|---|
| Dec 30, 2025 | New summary prospectus: expenses unchanged at 0.42%, the same as in the December 30, 2024 edition. [6] |
| Oct 2, 2023 | SEC reform takes effect: redemption gates removed and fees no longer tied to liquidity thresholds. [8] |
| Apr 6, 2015 | The FZFXX share class is launched. [2] |
FZFXX FAQ
Is FZFXX FDIC insured?
No. FZFXX is a mutual fund, and the FDIC does not insure mutual funds. In a brokerage account, SIPC covers the shares if the broker fails, up to $500,000 per customer, but not a fall in value.
What is the FZFXX 7-day yield?
It was 3.52% on September 30, 2026, according to the fund's latest Form N-MFP3 filing. Yields change daily, so check Fidelity's fund page for the current figure.
Is FZFXX state tax exempt?
Partly. For 2025, 61.52% of its income came from U.S. government securities, which you may be able to subtract on your state return depending on your state's rules. Residents of California, Connecticut and New York cannot, because the fund missed those states' 50% test in 2025. Federal tax applies to all of it.
FZFXX or SPAXX as my core position?
Both cost 0.42% and both are listed Fidelity core options for taxable accounts. FZFXX had more state-tax-exempt income in 2025 (61.52% against 50.90%) and yielded 3.52% against 3.48% on September 30, 2026. SPAXX is the one Fidelity lists for retirement accounts.
Can FZFXX charge a fee when I sell?
No. The prospectus says the fund will not impose a fee upon the sale of your shares, and redemption gates no longer exist for any money market fund.
How we researched this review
We did not get paid for this page. We read FZFXX's summary prospectus and statutory prospectus on SEC EDGAR, its monthly Form N-MFP filings, its issuer's fund page and the issuer's 2025 tax document on October 18, 2026, quoted each fact from those documents and link every one below. Yield, holdings, maturity and liquidity figures come straight from the SEC filings; the earnings figure is our arithmetic on them. We do not rate funds with stars. We re-check yields and fees about once a month.
Sources
- Fidelity Treasury Money Market Fund, summary prospectus (December 30, 2025), SEC EDGAR, checked October 18, 2026.
- Fidelity, FZFXX fund research page, checked October 18, 2026.
- Fidelity Treasury Money Market Fund, prospectus filing (2025), SEC EDGAR, checked October 18, 2026.
- Fidelity, 2025 income from U.S. government securities (supplemental tax letter), checked October 18, 2026.
- Fidelity, FAQs about your account (core position options), checked October 18, 2026.
- Fidelity Treasury Money Market Fund, prospectus filing (December 30, 2024), SEC EDGAR, checked October 18, 2026.
- SEC EDGAR, FZFXX Form N-MFP3 filings, checked October 18, 2026.
- SEC, Money Market Fund Reforms, final rule, 88 FR 51404 (August 3, 2023), checked October 18, 2026.
- Vanguard, 2025 U.S. government obligations information (state tax treatment of repos and agency income), checked October 18, 2026.
- SIPC, What SIPC protects, checked October 18, 2026.
- FDIC, Financial products that are not insured, checked October 18, 2026.
- Connecticut General Statutes, section 12-718, checked October 18, 2026.
Head-to-head comparisons
This review is for general information, not investment advice. Money market funds are not FDIC-insured, and yields change daily; past yields do not guarantee future results.