Money Fund Assets Inch Lower
Money market fund assets inched down in the latest week, their seventh drop in a row and 15th decline in the past 18 weeks. Assets, which broke below the $4.5 trillion level earlier this month, are at their lowest level since April 1. ICI's latest weekly "Money Market Fund Assets" report says, "Total money market fund assets decreased by $2.11 billion to $44.41 trillion for the week ended Wednesday, September 23, the Investment Company Institute reported.... Among taxable money market funds, government funds increased by $8.71 billion and prime funds decreased by $9.38 billion. Tax-exempt money market funds decreased by $1.44 billion." ICI's stats show Institutional MMFs rising $3.1 billion and Retail MMFs decreasing $5.2 billion. Total Government MMF assets, including Treasury funds, were $3.574 trillion (81.0% of all money funds), while Total Prime MMFs were $725.1 billion (16.4%). Tax Exempt MMFs totaled $114.8 billion (2.6%). ICI shows money fund assets up a still massive $782 billion, or 21.5%, year-to-date in 2020, with Inst MMFs up $629 billion (27.8%) and Retail MMFs up $154 billion (11.2%). Over the past 52 weeks, ICI's money fund asset series has increased by $972 billion, or 28.7%, with Retail MMFs rising by $218 billion (16.9%) and Inst MMFs rising by $754 billion (36.0%). (Crane Data's separate and broader Money Fund Intelligence Daily data series shows total MF assets are down $119.2 billion in September (as of 9/23) to $4.791 trillion.) They explain, "Assets of retail money market funds decreased by $5.22 billion to $1.52 trillion. Among retail funds, government money market fund assets decreased by $1.12 billion to $991.86 billion, prime money market fund assets decreased by $3.05 billion to $427.81 billion, and tax-exempt fund assets decreased by $1.05 billion to $103.93 billion." Retail assets account for just over a third of total assets, or 34.5%, and Government Retail assets make up 65.1% of all Retail MMFs. ICI adds, "Assets of institutional money market funds increased by $3.10 billion to $2.89 trillion. Among institutional funds, government money market fund assets increased by $9.82 billion to $2.58 trillion, prime money market fund assets decreased by $6.34 billion to $297.31 billion, and tax-exempt fund assets decreased by $383 million to $10.87 billion." Institutional assets, which broke below the $3.0 trillion level for the first time since April 22 last week, accounted for 65.5% of all MMF assets, with Government Institutional assets making up 89.4% of all Institutional MMF totals.
