The Investment Company Institute, the trade group representing the mutual fund industry, released its latest weekly "Money Market Fund Assets," its latest monthly "Trends in Mutual Fund Investing," and its latest monthly "Month-End Portfolio Holdings of Taxable Money Funds" reports yesterday. The first shows that MMF assets rose for the 10th week in a row, increasing by $149.3 billion, or 4.9%, since April 17, while the second release show money fund assets rising strongly in May. Money fund assets have increased by $145 billion, or 4.8%, year-to-date, according to ICI's weekly series, MMFs' highest level since February 2010. Over the past 52 weeks, ICI's money fund asset series has increased by $367 billion, or 13.0%, with Retail MMFs rising by $202 billion (19.7%) and Inst MMFs rising by $165 billion (9.2%).
They write, "Total money market fund assets increased by $8.10 billion to $3.19 trillion for the week ended Wednesday, June 26, the Investment Company Institute reported today. Among taxable money market funds, government funds increased by $7.30 billion and prime funds decreased by $46 million. Tax-exempt money market funds increased by $844 million. Due to the upcoming holiday on Thursday, July 4, data for the week ending July 2 will be released on Wednesday, July 3." ICI's weekly series shows Institutional MMFs rising $0.9 billion and Retail MMFs rising $7.2 billion. Total Government MMF assets, including Treasury funds, stood at $2.383 trillion (74.6% of all money funds), while Total Prime MMFs rose to $673.4 billion (21.1%). Tax Exempt MMFs totaled $136.3 billion, or 4.3%.
ICI states, "Assets of retail money market funds increased by $7.24 billion to $1.23 trillion. Among retail funds, government money market fund assets increased by $4.94 billion to $699.27 billion, prime money market fund assets increased by $1.88 billion to $404.55 billion, and tax-exempt fund assets increased by $414 million to $125.57 billion." Retail assets account for over a third of total assets, or 38.5%, and Government Retail assets make up 56.9% of all Retail MMFs.
The release adds, "Assets of institutional money market funds increased by $857 million to $1.96 trillion. Among institutional funds, government money market fund assets increased by $2.36 billion to $1.68 trillion, prime money market fund assets decreased by $1.93 billion to $268.84 billion, and tax-exempt fund assets increased by $430 million to $10.70 billion." Institutional assets accounted for 61.5% of all MMF assets, with Government Institutional assets making up 85.8% of all Institutional MMF totals.
ICI's "Trends: May 2019" report shows that MMF assets jumped by $89.3 billion in May to $3.160 trillion. This follows decreases of $8.8 billion in April and $11.5 billion in March, and increases of $45.5 billion in February and $8.2 billion in January. In the 12 months through May 31, 2019, money fund assets have increased by $309.1 billion, or 10.8%.
It states, "The combined assets of the nation’s mutual funds decreased by $560.18 billion, or 2.9 percent, to $19.09 trillion in May, 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."
The monthly update explains, "Bond funds had an inflow of $14.30 billion in May, compared with an inflow of $34.38 billion in April.... Money market funds had an inflow of $85.84 billion in May, compared with an outflow of $12.51 billion in April. In May funds offered primarily to institutions had an inflow of $68.90 billion and funds offered primarily to individuals had an inflow of $16.94 billion."
The latest statistics show that Taxable and Tax Exempt MMFs gained assets last month. Taxable MMFs increased by $87.0 billion in April to $3.024 trillion. Tax-Exempt MMFs increased $2.4 billion in May to $135.7 billion. Taxable MMF assets increased year-over-year by $312.3 (11.5%) while Tax-Exempt funds fell by $3.1 billion over the past year (-2.2%). Bond fund assets increased by $57.8 billion in May (1.3%) to $4.377 trillion; they've risen by $275.8 billion (6.7%) over the past year.
Money funds represent 16.6% of all mutual fund assets (up from 15.6% the previous month), while bond funds account for 22.9%, according to ICI. The total number of money market funds was 368, up one funds from April but down from 382 a year ago. Taxable money funds numbered 287 funds, and tax-exempt money funds remained at 81 funds.
The "Month-End Portfolio Holdings" update confirmed a jump in Repo and CDs last month. Repurchase Agreements remained in first place among composition segments; they increased by $72.9 billion, or 6.9%, to $1,123.5 trillion, or 37.1% of holdings. Repo holdings have risen by $183.3 billion, or 19.5%, over the past year.
Treasury holdings in Taxable money funds inched up by $870 million, or 0.1%, to $748.1 billion, or 24.7% of holdings. Treasury securities have increased by $6.8 billion, or 0.9%, over the past 12 months. U.S. Government Agency securities were the third largest segment; they increased $10.9 billion, or 1.6%, to $688.1 billion, or 22.8% of holdings. Agency holdings have risen by $27.4 billion, or 4.2%, over the past 12 months.
Certificates of Deposit (CDs) stood in fourth place; they decreased by $420 million, or -0.2%, to $240.4 billion (7.9% of assets). CDs held by money funds have grown by $67.1 billion, or 38.7%, over 12 months. Commercial Paper remained in fifth place, up $12.9 billion, or 0.3%, to $223.5 billion (7.4% of assets). CP has increased by $54.9 billion, or 32.6%, over one year. Notes (including Corporate and Bank) were down $975 million, or -11.5%, to $7.5 billion (0.2% of assets), while Other holdings increased to $12.4 billion.
The Number of Accounts Outstanding in ICI's series for taxable money funds increased by 116.7 thousand to 34.850 million, while the Number of Funds increased by one to 287. Over the past 12 months, the number of accounts rose by 2.854 million and the number of funds decreased by 11. The Average Maturity of Portfolios was 30 days, down 1 day from April. Over the past 12 months, WAMs of Taxable money funds have lengthened by 1 day.
