You open your WellsTrade app. There it is—that little pile of "uninvested cash" sitting at the bottom of your portfolio. Maybe it’s a dividend you just got, or perhaps you sold some NVIDIA shares and haven't decided where to put the money yet.
Most people just leave it there.
That’s a mistake. A big one.
The reality of WellsTrade money market funds is that they aren't all created equal, and the "default" option is almost certainly the worst one for your wallet. If you’re just letting your cash "sweep" into the standard bank deposit account, you’re basically giving the bank a cheap loan while you settle for pennies.
The Sweep Trap: Why Your Cash Isn't Earning What It Should
When you open a WellsTrade account, your cash usually lands in what’s called a Bank Deposit Sweep. As of January 2026, the rates on these sweeps are, frankly, underwhelming. If you have less than a million bucks in the account, you might be looking at a yield as low as 0.02%.
Yes, you read that right.
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It’s safe, sure. It’s FDIC-insured. But it’s not growing. To actually get a return that keeps up with the world, you have to take a manual step. You have to buy a "purchased" money market fund.
The Real Contenders: What to Actually Buy
If you're looking to actually move the needle, you need to look at the Allspring funds or the Goldman Sachs options that Wells Fargo makes available. Since Wells Fargo sold its asset management business (now Allspring), these are the heavy hitters in their ecosystem.
For instance, the Allspring Government Money Market Fund (often used as the "Sweep Class" for certain eligible accounts) was recently yielding around 3.26%. That’s a massive jump from 0.02%.
Think about it this way:
On a $50,000 cash balance, the difference between the basic sweep and a proper money market fund is the difference between making $10 a year and making over $1,600.
Breaking Down the Categories
- Government Funds: These buy Treasury bills and other debt backed by the feds. They are the "sleep well at night" option. They aren't FDIC insured—nothing in a brokerage account really is except the bank sweep—but they are considered extremely stable.
- Treasury-Only Funds: A subset of government funds that only hold U.S. Treasuries. If you live in a high-tax state like California or New York, these can be a godsend because the interest is often exempt from state and local taxes.
- Prime Funds: These are a bit punchier. They invest in corporate debt (commercial paper). They usually yield a tiny bit more, but in a 2026 market where the Fed is hovering around 3.75%, the "extra" yield for the extra risk might not always feel worth it.
How to Actually Pull the Trigger
Honestly, the WellsTrade interface isn't always the most intuitive for this. You don't just "turn on" a higher rate. You have to treat the money market fund like a stock.
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- Log in to your WellsTrade account.
- Go to the Trade tab and select Mutual Funds.
- Enter the ticker symbol (like GOGXX for Goldman Sachs Government or SGVXX for certain Allspring classes).
- Enter the dollar amount you want to move from your cash balance into the fund.
It’s a "buy" order. When you need the cash back to buy stocks or withdraw to your checking account, you have to "sell" the fund. It usually takes one business day to settle.
The Fine Print: Expense Ratios and Risks
Nothing is free.
Every one of these funds has an expense ratio. For most of the funds available through Wells Fargo, you're looking at something between 0.15% and 0.45%. This fee is already "baked in" to the yield you see. If a fund says it yields 3.5%, that’s what you get after they’ve taken their cut.
And we have to talk about "breaking the buck."
Money market funds try to keep their Share Price at exactly $1.00. It’s not a guarantee. In extreme financial meltdowns, it could drop. It’s happened before (2008), though the industry has a ton of new rules now to prevent it. Still, if you absolutely cannot lose a single cent of principal, stick to the FDIC-insured bank sweep—just know you're paying for that safety with a much lower return.
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Actionable Strategy for Your Cash
Stop being passive.
Check your last WellsTrade statement. Look for the "Summary of Assets" section. If your cash is sitting in the "Bank Deposit Sweep," you're likely losing out on hundreds or thousands of dollars in interest.
Here is exactly what to do next:
- Audit your "Idle" Cash: Determine how much money you need for "dry powder" (to buy stocks on a dip) versus what is just sitting there.
- Compare the Tickers: Look up GOGXX (Goldman Sachs Government) or FGTXX (Goldman Sachs Financial Square). Check their current 7-day yields against the Wells Fargo "Cash Sweep Rates" page.
- Execute a "Buy" Order: Move any cash you won't need for at least 48 hours into a purchased money market fund.
- Monitor the Fed: If the Federal Reserve cuts rates in mid-2026, these yields will drop quickly. Be ready to move that money into longer-term bonds or CDs if you want to "lock in" the higher rates before they vanish.
Your brokerage account is a tool. Don't let the bank be the only one profiting from the cash you haven't invested yet.