ICI's latest "Money Market Fund Assets" shows yet another week of strong asset gains, the 3rd week in a row and the 10th week out of the past 12 that MMFs have increased. For 2015, asset flows are now positive, poised to finish the year in the black for the fourth straight year with the strongest annual growth since 2008. The release says, "Total money market fund assets increased by $12.73 billion to $2.75 trillion for the week ended Wednesday, December 9, the Investment Company Institute reported today. Among taxable money market funds, government funds (including agency and repo) increased by $6.34 billion and prime funds increased by $6.77 billion. Tax-exempt money market funds decreased by $380 million. Assets of retail money market funds decreased by $1.95 billion to $890.32 billion. Among retail funds, government money market fund assets increased by $1.33 billion to $338.28 billion, prime money market fund assets decreased by $3.54 billion to $371.72 billion, and tax-exempt fund assets increased by $270 million to $180.33 billion." It continues, "Assets of institutional money market funds increased by $14.68 billion to $1.86 trillion. Among institutional funds, government money market fund assets increased by $5.01 billion to $880.13 billion, prime money market fund assets increased by $10.31 billion to $914.18 billion, and tax-exempt fund assets decreased by $650 million to $69.51 billion." ICI also notes, "In anticipation of the Securities and Exchange Commission's (SEC) new money market fund regulations, many advisers are changing their prime money market funds into government money market funds. As a result, there have been, and will continue to be, large shifts in assets from prime funds to government funds before the October 2016 deadline. For more information about the SEC's new money market fund rules, read our recent ICI Viewpoints." (Note that there were no Prime to Government fund shifts in the latest week.) Year to date, MMF assets are up $21 billion, or 0.8%. Institutional assets are up $42 billion, or 2.3%, while Retail assets are down $21, or 2.3%, YTD.
