MMF Assets Flat; Ignites Webinar
Money fund assets inched higher over the past week, according to ICI's latest weekly "Money Market Fund Assets" report. It says, "Total money market fund assets increased by $4.29 billion to $2.72 trillion for the week ended Wednesday, May 18, the Investment Company Institute reported today. Among taxable money market funds, government funds increased by $20.37 billion and prime funds decreased by $15.21 billion. Tax-exempt money market funds decreased by $870 million." Government assets, including Institutional and Retail (and Treasury and Government), now stand at $1.337 trillion, while Prime assets are at $1.170 trillion. Government fund assets moved ahead of Prime assets earlier this year, fueled by the conversion of $242.1 billion of Prime funds to Govt funds to date (through May 2). (We're not aware of any conversions this week though, so are not sure what caused ICI's Prime to Government shift in this latest report.) The release continues, "Assets of retail money market funds decreased by $330 million to $974.50 billion. Among retail funds, government money market fund assets increased by $7.99 billion to $404.05 billion, prime money market fund assets decreased by $7.18 billion to $406.36 billion, and tax-exempt fund assets decreased by $1.14 billion to $164.09 billion." It adds, "Assets of institutional money market funds increased by $4.62 billion to $1.74 trillion. Among institutional funds, government money market fund assets increased by $12.38 billion to $932.52 billion, prime money market fund assets decreased by $8.03 billion to $763.87 billion, and tax-exempt fund assets increased by $270 million to $48.34 billion." `Year-to-date through May 18, MMF assets are down $40 billion with Inst assets down $76 billion and Retail assets up $35 billion. A Footnote to ICI's release adds, "In anticipation of the Securities and Exchange Commission's (SEC) new money market fund regulations, many advisers are changing their prime money market funds into government money market funds. As a result, there have been, and will continue to be, large shifts in assets from prime funds to government funds before the October 2016 deadline." In other news, mutual fund publication Ignites will hold a webinar called, "Counting Down to Money Market Fund Reform" on Tuesday, May 24 at 10:30 a.m. EST. The description says, "Ignites will host its next Exchange webcast: Counting Down to Money Market Fund Reform. The webcast will explore the operational changes that fund shops have begun to implement. The panelists will also discuss the alternative types of products that some may opt to launch in light of the reforms. The panelists will be Peter Crane, president and CEO of Crane Data, and Bud Person, EVP and national director at Federated Investors' wealth-management and cash division. For more information, click here.
