On Wednesday, ICI released its latest "Trends in Mutual Fund Investing, June 2014," which tells us that total money fund assets decreased by $17 billion in June to $2.56 trillion after increasing $3.8 billion in May, decreasing $57.9 billion in April, and dropping $29.6 billion in March. For the 12 months through 6/30/14, ICI's monthly series shows assets down by $23.3 billion, or 0.7%. Month-to-date through July 30, money fund assets have declined by $11.4 billion, but Prime Institutional assets, which are the most impacted by the SEC's recent Money Market Fund Reforms have increased by $3.0 billion in July, according to Crane's Money Fund Intelligence Daily. (In the week since the SEC adopted reforms, total money fund assets are down $6.3 billion. But Prime Institutional Money Funds increased by $736 million over the last 7 days and by $1.9 billion on Wednesday.) Below, we review ICI's latest monthly and weekly assets survey, as well as their June Portfolio Composition totals.
ICI's June "Trends" says, "The combined assets of the nation's mutual funds increased by $221.08 billion, or 1.4 percent, to $15.67 trillion in June, according to the Investment Company Institute's official survey of the mutual fund industry. In the survey, mutual fund companies report actual assets, sales, and redemptions to ICI.... Bond funds had an inflow of $10.6 billion in June, compared with an inflow of $11.1 billion in May. Taxable bond funds had an inflow of $8.3 billion in June, versus an inflow of $7.6 billion in May. Municipal bond funds had an inflow of $2.3 billion in June compared to an inflow of $3.5 billion in May."
It adds, "Money market funds had an outflow of $17.15 billion in June, compared with an inflow of $3.19 billion in May. Funds offered primarily to institutions had an outflow of $4.59 billion. Funds offered primarily to individuals had an outflow of $12.56 billion." Money funds represent 16.3% of all mutual fund assets while bond funds represent 22.0%.
ICI's latest weekly "Money Market Fund Assets" release says, "Total money market fund assets decreased by $8.79 billion to $2.55 trillion for the week ended Wednesday, July 30, the Investment Company Institute reported today. Among taxable money market funds, Treasury funds (including agency and repo) decreased by $6.58 billion and prime funds decreased by $870 million. Tax-exempt money market funds decreased by $1.34 billion." Note that ICI's weekly survey shows Prime Institutional funds flat, down a mere $110 million (compared to Crane Data's numbers cited above, which showed a slight increase).
ICI also released its latest "Month-End Portfolio Holdings of Taxable Money Funds," which verified our reported jump in Repo and plunge in CDs in June. (See Crane Data's July 14 News, "July MF Holdings Show Jump in Fed Repo; CD, TD Drop; Europe Plunges.") ICI's latest Portfolio Holdings summary shows that Holdings of Repos rose by $63.9 billion, or 12.5%, (after rising $33.5 billion in May, plunging $38.4 billion in April, and jumping by $41.7 billion in March) to $573.4 billion (24.9% of assets). Repo became the largest segment of taxable money fund portfolio holdings in June, bumping Certificates of Deposits out of first place, according to ICI's data series.
Certificates of Deposits decreased by $60.7 billion in June (after jumping $9.9 billion in May, $50.3 billion in April and declining by $54.1 billion in March) to $541.6 billion (or 23.5% of taxable MMF holdings). CDs are the second largest composition segment. Treasury Bills & Securities, the third largest segment, fell $3.6 billion in June (after plummeting $29.7 billion in May, plunging $52.7 billion in April, and increasing $1.6 billion in March) to $376.8 billion (16.3%).
Commercial Paper, which decreased by $9.8 billion, or 2.7%, remained the fourth largest segment just ahead of U.S. Government Agency Securities. CP holdings totaled $346.9 billion (15.0% of assets) while Agencies grew by $10.2 billion to $333.1 billion (14.4%). Notes (including Corporate and Bank) fell by $11.7 billion to $67.5 billion (2.9% of assets), and Other holdings dropped by $9.1 billion to $48.7 billion (2.1%).
The Number of Accounts Outstanding in ICI's Holdings series for taxable money funds decreased by 180.6 thousand to 23.644 million, while the Number of Funds decreased by 3 to 375. Over the past 12 months, the number of accounts fell by 1.0 million and the number of funds declined by 16. The Average Maturity of Portfolios stayed the same at 44 days in June. Over the past 12 months, WAMs of Taxable money funds declined by 6 days.
The latest numbers from our Money Fund Intelligence Daily show that total money fund assets are $2.45 trillion, down $11.4 billion month-to-date and down $155.2 billion (6.0%) year-to-date (through July 30). The Crane Money Fund Average, which tracks all taxable funds, has dropped $13.0 billion month-to-date to $2.20 trillion through July 30. Year-to-date, the Crane Money Fund Average is down $141.1 billion; over the last 7 days it's down $5.0 billion. The Crane Retail Money Fund Index has declined $4.4 billion over the last 7 days, $2.7 billion MTD to $758.4 billion and $34.7 billion YTD through July 30. The Crane Institutional Money Fund Index is down $555 million over 7 days, $11.0 billion to $1.4 trillion MTD and $106.3 billion YTD.
Note: Crane Data updated its July MFI XLS to reflect the 6/30/14 composition data and maturity breakouts for our entire fund universe on July 14. Note again too that we are now producing a "Holdings Reports Issuer Module," which allows subscribers to choose a series of Portfolio Holdings and Issuers and to see a full listing of which money funds own this paper. (Visit our Content Center and the latest Money Fund Portfolio Holdings download page to access the latest version of this new file.)
