The Financial Times writes on London-based "IMMFA" money funds and separate accounts in a piece entitled, "Money market fund preferences are shifting." It says, "Triple-A rated money market funds have been one of the undisputed winners from the financial crisis. The unsung sector vacuumed up assets as investors prized the safety of short-term government and corporate debt over the potentially greater returns of higher risk assets. Inevitably, some of this safe haven money has started to leak away as institutional investors regain a little of their appetite for risk assets. But pooled money market funds are also starting to come under threat from within -- investors still want money market assets, but not necessarily in a pooled fund format. Segregated accounts, virtually unheard of in Europe until recently, are starting to emerge." The article quotes Mark Stockley, head of international sales, cash management at BlackRock, "Segregated mandates are a larger part of our conversations in Europe than ever before." It also quotes Duncan Jones, portfolio manager for BNY Mellon Cash Investment Strategies, "It's definitely a new, growing trend." Finally, it quotes, Robin Creswell, managing principal of Payden & Rygel Global, "If your greatest priority is return of capital and liquidity, and not return on capital, then a money market fund has a raison d'etre."
