The Investment Company Institute released its latest "Worldwide Mutual Fund Assets and Flows" data collection last week, which shows that global money market mutual fund assets increased sharply in the Third Quarter of 2015. The latest report says total worldwide money fund assets rose $247 billion, or 5.4%, to $4.832 trillion. (If we include Australia's approximately $322.1 billion, total Worldwide money fund assets stand at $5.154 trillion.) Money fund growth in China continues to be the big news; the country moved ahead of Ireland to become the second largest MMF market. Chinese MMFs saw a huge $188.5 billion jump in Q3, while the largest market, the US, No. 3 Ireland, and No. 4 France also all gained assets in Q3. Globally, MMF assets increased by $21.6 billion, or 0.4%, over the past year (through 9/30/15).
ICI's latest quarterly release says, "Worldwide regulated open-end fund assets decreased 5.6 percent to $36.15 trillion at the end of the third quarter of 2015.... Worldwide net cash flow to all funds was $223 billion in the third quarter, compared with $589 billion of net inflows in the second quarter of 2015. The Investment Company Institute compiles worldwide open-end fund statistics on behalf of the International Investment Funds Association, the organization of national fund associations. The collection for the second quarter of 2015 contains statistics from 46 countries."
It continues, "Bond fund assets decreased 3.7 percent to $7.90 trillion in the third quarter.... Money market fund assets rose 5.4 percent globally to $4.82 trillion. ICI's quarterly report adds, "Money market funds worldwide experienced an inflow of $201 billion in the third quarter of 2015 after registering an outflow of $22 billion in the second quarter of 2015. The global inflow to money market funds in the third quarter was driven by inflows of $124 billion in the Asia-Pacific region, $51 billion in the Americas, and $25 billion in Europe..... Money market fund assets represented 13.7 percent of the worldwide total."
According to Crane Data's analysis of ICI's "Worldwide" fund data, the U.S. maintained its position as the largest money fund market in Q3'15 with $2.668 trillion (or 54.4% of all global MMF assets). U.S. MMF assets increased by $52.6 billion in Q3'15 and by $64.2B in the 12 months through Sept 30, 2015. China continues to gain market share, jumping up to second place among countries overall, leapfrogging over Ireland. China saw assets grow a massive $188.5 billion (up 48.5%) in Q3 to $577.3 billion (11.8% of worldwide assets). Over the last 12 months through June 30, 2015, Chinese MMF assets have doubled, up$289.6 billion, or 100.6%.
Ireland fell to third in the rankings, ending Q3 with $475.4 billion (9.7% of worldwide assets), up $25.4B for the quarter, or 5.7%, and up $86.5B, or 22.2%, over the last 12 months. France remained in fourth place with $349.8 billion (7.1% of worldwide assets), up $14.5 billion, or 4.3%, in Q3, but down $30.9 billion, or 8.1%, over 1 year. Luxembourg moved up to fifth place with $323.9B, or 6.6% of the total (up $7.0 billion in Q3 and up $17.8B for 1 year). Australia was in 6th place worldwide with $322.1 billion (6.6%). (ICI's data didn't include money fund figures for Australia again this quarter. We continue to estimate these at $322 billion. Australia's MMF assets were shifted into the "Other" category several quarters ago.)
Korea, the 7th ranked country, fell $9.4 billion to $86.2 billion (1.8% of total) in Q3 but assets rose $4.6 billion (5.6%) for the year. Mexico was in 8th place, dropping $3.4 billion to $56.4 billion (1.2% of total assets) in Q3 and increasing $1.2 billion (2.2%) over the previous 12 months. ICI's latest Worldwide statistics show Brazil with $33.6B (down $10.5B and down $18.8B on the quarter and year, respectively) in 9th place. Rounding out the top 10 is Taiwan, with $27.6 billion in assets, moved ahead of India, rising $1.0B in Q3 and $806 million for the year.
India ($27.2B, down $5.3B for the quarter and down $2.7 billion for the year), Sweden ($22.2B, up $978M and up $919M), Switzerland ($19.2B, down $858M and up $3.2B),`South Africa <b:>`_ ($19.1B, down $1.5B and down $2.3B), and Canada ($18.9B, down $632M and down $4.1B) ranked 11th through 15th, respectively. Japan, Chile, Germany, United Kingdom, and Norway round out the 20 largest countries with money market mutual funds.
Note that Ireland and Luxembourg's totals are primarily "offshore" money funds marketed to global multinationals, while most of the other countries in the survey have primarily domestic money fund offerings. (Crane Data believes that some of these countries, like France and Italy, do not have true "money market funds" due to their lack of strict guidelines and "accumulating" NAVs instead of stable NAVs.) Contact us if you'd like our latest "Largest Money Market Funds Markets Worldwide" spreadsheet, based on ICI's data, or if you'd like to see our MFI International product.
Crane Data's Money Fund Intelligence International shows assets in "offshore" money market mutual funds, U.S.-style funds domiciled in Dublin or Luxemburg and denominated in USD, Euro and GBP (sterling), up slightly in December, increasing by $3.8 billion to $699.1 billion through 12/31/15. U.S. Dollar (USD) funds (157) tracked by Crane Data's MFII account for over half ($392.1 billion, or 56.1%) of the total, while Euro (EUR) money funds (98) total E75.4 billion and Pound Sterling (GBP) funds (110) total L150.5. For all of 2015, total offshore money fund assets were down $55.6 billion, or 7.3%, to $699.1 billion.
USD funds were up $3.2 billion, or 0.8%, in December and up $8.4 billion, or 2.2%, in 2015. Euro funds were up E2.3 billion, or 3.1%, for the month and E15.3 billion, or 16.9%, in '15, while GBP funds are up L2.3 billion in November, or 1.6%, and down L1.9 billion, or 1.2%, for the year through 12/31. Offshore USD MMFs yielded 0.16% (7-Day) as of December 31, up 8 basis for the month. EUR MMFs yielded -0.18% for the average 7-Day Yield, down 4 basis points, and GBP MMFs yielded 0.34%, down 4 basis points.
The USD funds tracked by MFI International contain, on average (as of 11/30/15), 22.0% in Certificates of Deposit (CDs), 24.0% in Commercial Paper (CP), 24.0% in Treasury securities, 13.0% in Other securities (primarily Time Deposits), 12.0% in Repurchase Agreements (Repo), 3.0% in Government Agency securities, and 2.0% in VRDNs (Variable-Rate Demand Notes). USD funds have on average 29.8% of their portfolios maturing Overnight, 8.4% maturing in 2-7 Days, 16.1% maturing in 8-30 Days, 16.0% maturing in 31-60 Days, 13.7% maturing in 61-90 Days, 12.8% maturing in 91-180 Days, and 3.1% maturing beyond 181 Days. USD holdings are affiliated with the following countries: US (35.3%), France (15.0%), Japan (9.0%), Canada (8.9%), Sweden (6.4%), Great Britain (4.6%), Australia (4.6%), Germany (4.2%), Netherlands (3.5%), and Switzerland (1.9%).
The 10 Largest Issuers to "offshore" USD money funds include: the US Treasury with $105.9 billion (23.5% of total portfolio assets), Credit Agricole with $19.0B (4.2%), Bank of Tokyo-Mitsubishi UFJ Ltd with $12.5B (2.8%), BNP Paribas with $12.2B (2.7%), Natixis with $11.4B (2.5%), Wells Fargo with $10.4B (2.3%), Bank of Nova Scotia with $9.6B (2.1%), Societe Generale with $9.4B (2.1%), RBC with $8.8B (1.9%), and Skandinaviska Enskilda Banken AB (SEB) with $8.4B (1.9%).
The EUR funds tracked by Crane Data contain, on average, 23.0% in CDs, 45.0% in CP, 20.0% in Other (primarily Time Deposits), 7.0% in Repo, 1.0% in Agency securities, and 4.0% in Treasury securities. Euro funds have on average 14.1% of their portfolios maturing Overnight, 12.2% maturing in 2-7 Days, 15.7% maturing in 8-30 Days, 21.4% maturing in 31-60 Days, 14.4% maturing in 61-90 Days, 18.2% maturing in 91-180 Days, and 3.9% maturing beyond 181 Days. EUR MMF holdings are affiliated with the following countries: France (30.1%), US (14.6%), Japan (11.1%), Sweden (7.2%), Great Britain (7.8%), Germany (6.6%), Netherlands (6.9%), Belgium (4.2%), Switzerland (3.5%), and Canada (1.5%).
The 10 Largest Issuers to "offshore" EUR money funds include: Republic of France with E3.7B (5.2%), BNP Paribas with E3.7B (5.1%), HSBC with E3.0B (4.2%), Proctor & Gamble with E3.0B (4.1%), General Electric with E2.8B (3.9%), Credit Agricole with E2.7B (3.8%), Rabobank with E2.7B (3.8%), Svenska Handelsbanken with E2.6B (3.7%), Societe Generale with E2.6B (3.7%), and Nordea Bank with E2.5B (3.5%).
Finally, the GBP funds tracked by MFI International contain, on average (as of 11/30/15) 25.0% in CP, 31.0% in Other (Time Deposits), 30.0% in CDs, 5.0% in Repo, 6.0% in Treasury, 1.0% in Agency, and 2.0% in VRDNs. Sterling funds have on average 19.2% of their portfolios maturing Overnight, 8.0% maturing in 2-7 Days, 15.0% maturing in 8-30 Days, 18.4% maturing in 31-60 Days, 16.3% maturing in 61-90 Days, 18.6% maturing in 91-180 Days, and 4.3% maturing beyond 181 Days. GBP MMF holdings are affiliated with the following countries: France (14.5%), Great Britain (14.6%), Japan (12.8%), Germany (9.7%), US (6.6%), Netherlands (7.8%), Australia (6.2%), Canada (6.9%), Sweden (5.6%), and Switzerland (3.5%).
The 10 Largest Issuers to "offshore" GBP money funds include: UK Treasury with L6.8B (5.2%), Bank of Tokyo-Mitsubishi UFJ Ltd with L5.0B (3.8%), Nordea Bank with L4.4B (3.4%), Sumitomo Mitsui Banking Co with L4.3B (3.3%), BNP Paribas with L4.1B (3.1%), Mizuho Corporate Bank Ltd with L4.0B (3.1%), ING Bank with L3.9B (3.0%), HSBC with L3.8B (2.9%), Rabobank with L3.6B (2.7%), and Bank of Nova Scotia with L3.4B (2.6%). (E-mail us at info@cranedata.com to request a copy of our latest MFI International or MFII Portfolio Holdings, or to request our spreadsheet of ICI's largest Worldwide Money Fund Markets.)
