Surved a Money Market Securities' are a special class of bond (debt) which form a multitrillion dollar fixed-income market. What are the distinct differences between money market securities and other types of bonds (debt)? Money market securities must have very short-term maturities of 270 days or less when issued. Co Money market securities are only issued by the US government or other foreign governments Money market securities are typically "pure discount securities, and as such are typically issued at a discount to their par value and Oc do not pay coupons. OdA&B A&C O How would the 'liquidity preference theory of interest rates explain the yield curve shown below? All else equal, investors always prefer more liquidity over less liquidity, which is why investors are willing to receive lower yields on O long-term (10-yr.) bonds than very short-term (1-mo) bonds in the yield curve shown. All else equal, investors always prefer more liquidity over less liquidity, which is why investors receive higher yields on long-term (10-yr.) bonds relative to very short-term (1-mo) bonds in the yield curve shown. Although investors prefer liquidity and thus generally prefer shorter-term bonds, they are happy to invest in longer-term bonds at the 10-yr. maturity at lower yields as the US Treasury 10-yr. bond market is widely known as the most liquid bond market. 'Liquidity preference theory' cannot explain the yield curve shown