Reich & Tang Surpasses $30 Billion
A release entitled, "Reich & Tang Surpasses $30 Billion in Assets Under Supervision tells us, "Reich & Tang today announced that the firm has surpassed $30 billion in assets under supervision, a new milestone for the liquidity and cash management specialty firm. With more than $32 billion, the firm increased its total assets by nearly 22% and increased its money fund assets by 40% year-to-date, which is impressive in the painfully low interest rate environment shareholders have endured for the past five years.... The retail-focused Reich & Tang, an affiliate of Natixis Global Asset Management, manages approximately $16 billion in money market mutual funds and separately managed accounts, as well as administers approximately $16 billion in expanded FDIC insured programs offered through banks and broker-dealers." CEO Michael Lydon comments, "We are very excited to have surpassed the $30 billion milestone. This is validation that our value as a liquidity and cash management specialist is clearly what many of our clients are seeking and need, particularly in this complex cash environment they are trying to navigate. We are extremely thankful to our clients who continue to grow their trust in us to manage and facilitate their end customers' cash management needs.... The firm's growth from the M&A side is a nice complement to the organic growth we are experiencing through our focused strategy.... On top of the multi-billion dollar HighMark Funds deal that we just completed, we have another $2-3 billion coming on board from existing and new client relationships over the next 45-60 days. Our expectation is to grow our money fund asset base by approximately 65% before the end of the year. Being able to accomplish this during a time when other money fund sponsors are talking about exiting the industry speaks volumes to the focus and commitment we have in the money fund space." In other news, ICI reported its latest "Money Market Mutual Fund Assets, which says, "Total money market mutual fund assets decreased by $9.80 billion to $2.622 trillion for the week ended Wednesday, July 24."
