Another batch of filings to liquidate money funds appeared recently, including the Pyxis Money Market Fund and several small Dreyfus State Muni money funds, we learned from mutual fund news source ignites. Pyxis, formerly the Highland (and previously GE retail) funds, ranks 72 out of 73 money fund managers tracked by Crane Data's Money Fund Intelligence XLS with just $76 million, including the $60 million Pyxis Money Market II A (HAHXX) and $16 million Pyxis Money Market II Inst (HIHXX). Dreyfus will liquidate several of its smallest municipal funds, including the $96 million Dreyfus MA Muni Money Market Fund (DMAXX), the $126 million Dreyfus PA Muni MMF (DPAXX) and the $50 million Dreyfus Basic NJ Muni MMF (DBJXX). Finally, BNY Mellon has announced the pending liquidation of its "offshore" Euro Liquidity Fund.
The Pyxis Prospectus Supplement says, "On October 25, 2012, the Board of Trustees of Pyxis Funds II, on behalf of Pyxis Money Market Fund II, a series of Pyxis Funds II, upon the recommendation of the Fund's adviser, Pyxis Capital, L.P., approved a plan to liquidate the Fund, such liquidation to take place on or about December 21, 2012. Any shares of the Fund outstanding on the Liquidation Date will be automatically redeemed on that date.... It is expected that, on or about December 21, 2012, the cash proceeds of the liquidation will either be distributed to shareholders of the Fund at $1.00 per share in a complete redemption of their shares or, for investors that hold shares of the Fund through a Pyxis Funds Individual Retirement Account, reinvested in an equivalent amount of shares at $1.00 per share in the Pyxis Money Market Fund (Bedford Shares of the Money Market Portfolio of the RBB Fund, Inc.)."
The Dreyfus MA Muni filing explains, "The Board of Trustees of Dreyfus Massachusetts Municipal Money Market Fund has approved the liquidation of Fund, effective on or about December 19, 2012. Accordingly, effective on or about November 26, 2012, the Fund will be closed to any investments for new accounts, except that new accounts may be established for "sweep accounts" and by participants in group retirement plans (and their successor plans), provided the plan sponsor has been approved by The Dreyfus Corporation and established the Fund as an investment option in the plan before the Closing Date."
The PA Muni filing comments, "The Board of Trustees of Dreyfus Pennsylvania Municipal Money Market Fund has approved the liquidation of Fund, effective on or about December 20, 2012. Accordingly, effective on or about November 26, 2012, the Fund will be closed to any investments for new accounts, except that new accounts may be established for "sweep accounts" and by participants in group retirement plans (and their successor plans), provided the plan sponsor has been approved by The Dreyfus Corporation and established the Fund as an investment option in the plan before the Closing Date. The Fund will continue to accept subsequent investments until the Liquidation Date, except that subsequent investments made by check or pursuant to Dreyfus TeleTransfer or Dreyfus Automatic Asset Builder no longer will be accepted after November 29, 2012."
Dreyfus BASIC NJ Muni MMF's filing says, "The Board of Directors of Dreyfus Municipal Funds, Inc. has approved the liquidation of Dreyfus BASIC New Jersey Municipal Money Market Fund, a series of Dreyfus Municipal Funds, Inc., effective on or about December 21, 2012. Accordingly, effective on or about November 26, 2012, the Fund will be closed to any investments for new accounts, except that new accounts may be established for "sweep accounts" and by participants in group retirement plans (and their successor plans), provided the plan sponsor has been approved by The Dreyfus Corporation and established the Fund as an investment option in the plan before the Closing Date."
Euro money market funds continue to shrink too -- Moody's also recently noted that BNY Mellon Euro Liquidity Fund has announced its liquidation. It says in a release, "Moody's has affirmed the Aaa-mf rating assigned to BNY Mellon Euro Liquidity Fund, a Short Term Money Market Fund, which is a sub-fund of BNY Mellon Liquidity Funds plc, an open ended umbrella type investment company which is authorized by the Central Bank of Ireland, pursuant to the UCITS Regulations. The Fund has announced a plan to redeem all shareholder interests and close on 26 November 2012. The Moody's affirmation is based on the expectation that the Fund, as currently structured and managed, will meet all shareholder redemption requests in full prior to and upon the closure of the Fund. This action follows the 8 November 2012 announcement that the Fund's board of directors, in concert with the investment advisor of the Fund, The Dreyfus Corporation, has decided to close the Fund, having determined that it is no longer economically viable to continue to operate the Fund under current market conditions following the European Central Bank's decision to cut its deposit interest rate to zero in July 2012."
For the last article on consolidation, see our Crane Data Oct. 25 News "Reich and Tang Acquires Value Line US Government Money Market Fund". We've also written about liquidations in the Euro money market space -- see our August 21 News "BofA to Close and Liquidate Global Liquidity Euro Money Fund".
