Crane Data's latest Money Fund Intelligence International shows that assets in European or "offshore" money market mutual funds moved higher again over the past 30 days to a record $1.449 trillion, while yields moved lower. Assets for USD, EUR and GBP all rose over the past month. Like U.S. money fund assets, European MMFs have repeatedly hit record highs in 2023 and 2024. These U.S.-style money funds, domiciled in Ireland or Luxembourg and denominated in US Dollars, Pound Sterling and Euros, increased by $37.8 billion over the 30 days through 12/12. The totals are up $251.6 billion (21.0%) year-to-date for 2024, they were up $166.9 billion (16.2%) for the year 2023. (Note that currency moves in the U.S. dollar cause Euro and Sterling totals to shift when they're translated back into totals in U.S. dollars. See our latest MFI International for more on the "offshore" money fund marketplace. These funds are only available to qualified, non-U.S. investors and are almost entirely institutional.) (Note: For those attending our Money Fund University Dec. 19-20 in Providence, R.I, you may access the latest MFU Conference Materials here. See you in Providence!)
Offshore US Dollar money funds increased $20.0 billion over the last 30 days and are up $98.5 billion YTD to $748.0 billion; they increased $100.0 billion in 2023. Euro funds increased E8.3 billion over the past month. YTD, they're up E80.5 billion to E315.4 billion, for 2023, they increased by E54.5 billion. GBP money funds increased L6.5 million over 30 days, and they're up L30.2 billion YTD at L265.6B, for 2023, they fell L28.1 billion. U.S. Dollar (USD) money funds (260) account for over half (51.6%) of the "European" money fund total, while Euro (EUR) money funds (179) make up 24.0% and Pound Sterling (GBP) funds (171) total 24.3%. We summarize our latest "offshore" money fund statistics and our Money Fund Intelligence International Portfolio Holdings (which went out to subscribers Friday), below.
Offshore USD MMFs yield 4.55% (7-Day) on average (as of 12/12/24), down 8 basis points from a month earlier. Yields averaged 4.20% on 12/30/22 and 0.03% on 12/31/21. EUR MMFs, which left negative yield territory in the second half of 2022, yield 3.08% on average, down 7 bps from a month ago and up from 1.48% on 12/30/22 and -0.80% on 12/31/21. Meanwhile, GBP MMFs broke above the 5.0% barrier 16 months ago, but they broke back below 5.0% 5 months ago. They now yield 4.68%, down 6 bps from a month ago, but up from 3.17% on 12/30/22. Sterling yields were 0.01% on 12/31/21.
Crane's December MFI International Portfolio Holdings, with data as of 11/30/24, show that European-domiciled US Dollar MMFs, on average, consist of 26% in Commercial Paper (CP), 15% in Certificates of Deposit (CDs), 20% in Repo, 24% in Treasury securities, 14% in Other securities (primarily Time Deposits) and 1% in Government Agency securities. USD funds have on average 42.1% of their portfolios maturing Overnight, 6.0% maturing in 2-7 Days, 8.0% maturing in 8-30 Days, 12.6% maturing in 31-60 Days, 9.3% maturing in 61-90 Days, 15.6% maturing in 91-180 Days and 6.1% maturing beyond 181 Days. USD holdings are affiliated with the following countries: the US (37.9%), France (11.6%), Canada (9.8%), Japan (9.6%), Australia (4.8%), the U.K. (3.7%), Sweden (3.6%), the Netherlands (3.1%), Finland (2.7%) and Germany (2.4%).
The 10 Largest Issuers to "offshore" USD money funds include: the US Treasury with $179.9 billion (23.8% of total assets), Fixed Income Clearing Corp with $31.0B (4.1%), Credit Agricole with $21.2B (2.8%), Nordea Bank with $18.6B (2.5%), Mizuho Corporate Bank with $18.2B (2.4%), Toronto-Dominion Bank with $17.9B (2.4%), BNP Paribas with $17.5B (2.3%), RBC with $17.1B (2.3%), Australia & New Zealand Banking Group Ltd with $16.2B (2.1%) and Mitsubishi UFJ Financial Group Inc with $16.1B (2.1%).
Euro MMFs tracked by Crane Data contain, on average 38% in CP, 23% in CDs, 15% in Other (primarily Time Deposits), 20% in Repo, 4% in Treasuries and 0% in Agency securities. EUR funds have on average 39.1% of their portfolios maturing Overnight, 6.3% maturing in 2-7 Days, 6.1% maturing in 8-30 Days, 19.7% maturing in 31-60 Days, 14.1% maturing in 61-90 Days, 8.4% maturing in 91-180 Days and 6.3% maturing beyond 181 Days. EUR MMF holdings are affiliated with the following countries: France (30.8%), Japan (11.6%), Canada (8.8%), the U.S. (7.8%), Germany (6.8%), the Netherlands (6.0%), the U.K. (4.7%), Austria (3.9%), Australia (3.4%) and Spain (2.9%).
The 10 Largest Issuers to "offshore" EUR money funds include: Credit Agricole with E17.5B (6.2%), Republic of France with E16.1B (5.7%), BNP Paribas with E15.7B (5.5%), JP Morgan with E9.9B (3.5%), Societe Generale with E9.8B (3.5%), Mizuho Corporate Bank Ltd with E7.8B (2.8%), Mitsubishi UFJ Financial Group Inc with E7.7B (2.7%), Bank of Nova Scotia with E7.3B (2.6%), Toronto-Dominion Bank with E7.3B (2.6%) and Sumitomo Mitsui Banking Corp with E6.8B (2.4%).
The GBP funds tracked by MFI International contain, on average (as of 11/30/24): 38% in CDs, 18% in CP, 22% in Other (Time Deposits), 18% in Repo, 3% in Treasury and 1% in Agency. Sterling funds have on average 35.7% of their portfolios maturing Overnight, 6.3% maturing in 2-7 Days, 4.7% maturing in 8-30 Days, 15.7% maturing in 31-60 Days, 14.2% maturing in 61-90 Days, 14.8% maturing in 91-180 Days and 8.5% maturing beyond 181 Days. GBP MMF holdings are affiliated with the following countries: France (16.4%), Japan (14.2%), the U.K. (12.8%), Canada (12.5%), Australia (9.3%), the U.S. (8.4%), the Netherlands (5.0%), Singapore (3.5%), Finland (3.0%), and Abu Dhabi (2.6%).
The 10 Largest Issuers to "offshore" GBP money funds include: UK Treasury with L16.4B (6.7%), BNP Paribas with L11.1B (4.5%), RBC with L10.3B (4.2%), Toronto-Dominion Bank with L9.8B (4.0%), Mizuho Corporate Bank Ltd with L9.6B (3.9%), Sumitomo Mitsui Trust Bank with L9.5B (3.9%), JP Morgan with L7.8B (3.2%), Mitsubishi UFJ Financial Group Inc with L7.6B (3.1%), National Australia Bank Ltd with L7.3B (3.0%) and Commonwealth Bank of Australia with L6.9B (3.0%).
