JPMorgan Liquidates E*Trade Shares
A recent Prospectuses Supplement filing for the J.P. Morgan Money Market Funds, announces the liquidation of the E*Trade Shares of JPMorgan California and New York Municipal Money Market Fund, JPMorgan Liquid Assets Money Market Fund, JPMorgan Municipal Money Market Fund and JPMorgan U.S. Government Money Market Fund. The "Notice of liquidation of the E*Trade shares of the JPMorgan Money Market Funds," tells us, "The Board of Trustees of the JPMorgan Money Market Funds approved the liquidation and redemption of the E*Trade Shares of the Funds to occur on or about September 29, 2023 (the 'Liquidation Date'). On the Liquidation Date, the Funds shall distribute to its E*Trade shareholders of record an amount equal to the net asset value as calculated on the Liquidation Date. Capital gain distributions, if any, may be paid on or prior to the Liquidation Date." It explains, "Upon liquidation, shareholders may purchase any class of another J.P. Morgan Fund for which they are eligible with the proceeds of the liquidating distribution. For taxable shareholders of the E*Trade Shares of the Funds, the redemption of shares of E*Trade Shares of the Funds on the Liquidation Date will generally be treated as any other redemption of shares, i.e., as a sale that may result in a gain or loss for federal income tax purposes. Instead of waiting until the Liquidation Date, a shareholder of E*Trade Shares may voluntarily redeem his or her shares prior to the Liquidation Date to the extent that the shareholder wishes to realize any such gains or losses prior thereto. See 'Distributions and Taxes' in the Prospectus. Shareholders should consult their tax advisers regarding the tax treatment of the liquidation and redemption." The filing adds, "Effective September 27, 2023, purchases of E*Trade shares of the funds by new or existing shareholders will not be accepted. Investors should retain this supplement with the summary prospectuses, prospectuses and statement of additional information for future reference." According to Crane Data's Brokerage Sweep Intelligence publication, money fund options for E*Trade brokerage customers now include: Morgan Stanley Institutional Liquidity Funds (MSILF) Government Securities Portfolio Participant Share Class (MGPXX) and Morgan Stanley U.S. Government Money Market Trust (DWGXX). For more on liquidations, see these recent Crane Data News articles: "Morgan Stanley Latest to Abandon ESG MMFs" (8/16/23), "Goldman Liquidating Resource Shares" (7/19/23), "SSGA to Liquidate State Street ESG Liquid Reserves" (9/19/22), "DWS Liquidating Govt Cash Mgmt Fund" (7/7/22), and "Cavanal Hill Liquidates $71M U.S. Treasury Service Class, Added to Fed RRP List" (5/22/23).
