The Investment Company Institute published, "Worldwide Regulated Open-Fund Assets and Flows, Third Quarter 2021," which shows that money fund assets globally decreased by $114.5 billion, or -1.3%, in Q3'21 to $8.450 trillion. The decline was driven by drops in money funds in Ireland, Australia, Brazil and France. Meanwhile, Chinese and U.S. MMF assets increased. MMF assets worldwide increased by $382.3 billion, or 4.7%, in the 12 months through 9/30/21, and money funds in the U.S. now represent 53.8% of worldwide assets. We review the latest Worldwide MMF totals, below.
ICI's release says, "Worldwide regulated open-end fund assets decreased 0.5 percent to $68.23 trillion at the end of the third quarter of 2021, excluding funds of funds. Worldwide net cash inflow to all funds was $786 billion in the third quarter, compared with $853 billion of net inflows in the second quarter of 2021. The Investment Company Institute compiles worldwide regulated open-end fund statistics on behalf of the International Investment Funds Association (IIFA), the organization of national fund associations. The collection for the third quarter of 2021 contains statistics from 45 jurisdictions."
It explains, "The growth rate of total regulated open-end fund assets reported in US dollars was decreased by US dollar appreciation over the third quarter of 2021. For example, on a US dollar–denominated basis, fund assets in Europe decreased by 1.1 percent in the third quarter, compared with an increase of 1.5 percent on a euro-denominated basis."
ICI's quarterly continues, "On a US dollar–denominated basis, equity fund assets decreased by 0.8 percent to $31.83 trillion at the end of the third quarter of 2021. Bond fund assets increased by 0.8 percent to $13.62 trillion in the third quarter. Balanced/mixed fund assets decreased by 0.6 percent to $8.49 trillion in the third quarter, while money market fund assets decreased by 1.3 percent globally to $8.45 trillion."
The release also tells us, "At the end of the third quarter of 2021, 47 percent of worldwide regulated open-end fund assets were held in equity funds. The asset share of bond funds was 20 percent and the asset share of balanced/mixed funds was 12 percent. Money market fund assets represented 12 percent of the worldwide total."
ICI adds, "Net sales of regulated open-end funds worldwide were $786 billion in the third quarter of 2021.... Globally, bond funds posted an inflow of $337 billion in the third quarter of 2021, after recording an inflow of $304 billion in the second quarter.... Money market funds worldwide experienced an inflow of $21 billion in the third quarter of 2021 after registering an inflow of $79 billion in the second quarter of 2021."
According to Crane Data's analysis of ICI's "Worldwide" fund data, the U.S. sustained its position as the largest money fund market in Q3'21 with $4.543 trillion, or 53.8% of all global MMF assets. U.S. MMF assets increased by $8.5 billion (0.2%) in Q3'21 and have increased by $138.4 billion (3.1%) in the 12 months through Sept. 30, 2021. China remained in second place among countries overall. China saw assets jump $25.5 billion (1.8%) in Q3, to $1.461 trillion (17.3% of worldwide assets). Over the 12 months through Sept. 30, 2021, Chinese MMF assets have surged by $387.3 billion, or 36.1%.
Ireland remained third among country rankings, ending Q3 with $673.3 billion (8.0% of worldwide assets). Dublin-based MMFs were down $25.8B for the quarter, or -3.7%, and down $14.8B, or -2.1%, over the last 12 months. Luxembourg remained in fourth place with $478.4 billion (5.7% of worldwide assets). Assets there decreased $6.6 billion, or -1.4%, in Q3, and were down $38.8 billion, or -7.5%, over one year. France was in fifth place with $412.8B, or 4.9% of the total, down $12.1 billion in Q3 (-2.9%) and down $14.5B (-3.4%) over 12 months.
Australia was listed in sixth place with $243.0 billion, or 2.9% of worldwide assets. Its MMFs decreased by $15.5 billion, or -6.0%, in Q3. Japan, the 7th ranked country, saw MMF assets increase $660 million, or 0.5%, in Q3'21 to $125.6 billion (1.5% of the total); they've risen $7.8 billion (6.6%) for the year. Korea fell to 8th place with $120.5 billion (1.4%); assets there fell $6.0 billion (-4.8%) in Q3 and increased by $4.4 billion (3.8%) over 12 months. Brazil was in 9th place, assets decreased $14.5 billion, or -12.7%, to $100.1 billion (1.3% of total assets) in Q3. They've increased $9.7 billion (10.7%) over the previous 12 months. ICI's statistics show India in 10th place with $59.4B, or 0.7% of total assets, up $275 million (0.5%) in Q3 and down $543 million (-0.9%) for the year. (Mexico was previously in 10th place, but it did not report statistics this quarter.)
Chinese Taipei was in 11th place, decreasing $1.3 billion, or -3.7%, to $33.3 billion (0.4% of total assets) in Q3 and decreasing $261 million (-0.8%) over the previous 12 months. United Kingdom ($29.1B, down $19M but up $1.2B over the quarter and year, respectively) ranked 12th ahead of Canada. ($26.3B, down $661M and down $6.5B). South Africa ($24.3B, down $2.1B and down $1.3B) and Switzerland ($23.7B up $1.2B and down $208M), rank 13th through 15th, respectively. Chile, Norway, Argentina, Germany and Turkey round out the 20 largest countries with money market mutual funds.
ICI's quarterly series shows money fund assets in the Americas total $4.710 trillion, down $71.4 billion in Q3. Asian MMFs increased by $3.0 billion to $2.055 trillion, and Europe saw its money funds decrease by $44.0 billion in Q3’21 to $1.661 trillion. Africa saw its money funds decrease $2.1B to $24.3 billion.
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 mainly domestic money fund offerings. Contact us if you'd like our latest "Largest Money Market Funds Markets Worldwide" spreadsheet, based on ICI's data. (Let us know too if you'd like to see our latest Money Fund Intelligence International product, which tracks "offshore" money market funds domiciled in Europe and outside the U.S.)
