The Investment Company Institute published, "Worldwide Regulated Open-Fund Assets and Flows, Fourth Quarter 2021," which shows that money fund assets globally surged by $383.0 billion, or 4.5%, in Q4'21 to $8.833 trillion. The big increase was driven by gains in money funds in the U.S., Ireland, Luxembourg and China. Meanwhile, money funds in Brazil, Korea and Japan decreased. MMF assets worldwide increased by $519.0 billion, or 6.2%, in the 12 months through 12/31/21, and money funds in the U.S. represent 53.8% of worldwide assets. We review the latest Worldwide MMF totals, below. (Note: We're still taking registrations to our upcoming Bond Fund Symposium, March 28-29 in Newport Beach, Calif. See you Monday!)
ICI's release says, "Worldwide regulated open-end fund assets increased 3.9 percent to $71.05 trillion at the end of the fourth quarter of 2021, excluding funds of funds. Worldwide net cash inflow to all funds was $1.1 trillion in the fourth quarter, compared with $794 billion of net inflows in the third 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 fourth quarter of 2021 contains statistics from 46 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 fourth quarter of 2021. For example, on a US dollar–denominated basis, fund assets in Europe increased by 2.6 percent in the fourth quarter, compared with an increase of 4.9 percent on a euro-denominated basis."
ICI's quarterly continues, "On a US dollar–denominated basis, equity fund assets increased by 5.6 percent to $33.64 trillion at the end of the fourth quarter of 2021. Bond fund assets increased by 0.6 percent to $13.72 trillion in the fourth quarter. Balanced/mixed fund assets increased by 3.3 percent to $8.78 trillion in the fourth quarter, while money market fund assets increased by 3.7 percent globally to $8.83 trillion."
The release also tells us, "At the end of the fourth quarter of 2021, 47 percent of worldwide regulated open-end fund assets were held in equity funds. The asset share of bond funds was 19 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 $1.1 trillion in the fourth quarter of 2021.... Globally, bond funds posted an inflow of $235 billion in the fourth quarter of 2021, after recording an inflow of $337 billion in the third quarter.... Money market funds worldwide experienced an inflow of $308 billion in the fourth quarter of 2021 after registering an inflow of $22 billion in the third 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 Q4'21 with $4.756 trillion, or 53.8% of all global MMF assets. U.S. MMF assets increased by $213.1 billion (4.7%) in Q4'21 and have increased by $422.4 billion (9.7%) in the 12 months through Dec. 31, 2021. China remained in second place among countries overall. China saw assets jump $28.4 billion (1.9%) in Q4, to $1.490 trillion (16.9% of worldwide assets). Over the 12 months through Dec. 31, 2021, Chinese MMF assets have surged by $255.9 billion, or 20.7%.
Ireland remained third among country rankings, ending Q4 with $727.1 billion (8.2% of worldwide assets). Dublin-based MMFs were up $53.8B for the quarter, or 8.0%, and down $28.8B, or -3.8%, over the last 12 months. Luxembourg remained in fourth place with $502.3 billion (5.7% of worldwide assets). Assets there increased $23.9 billion, or 5.0%, in Q4, and were down $6.3 billion, or -1.2%, over one year. France was in fifth place with $427.2B, or 4.8% of the total, up $14.4 billion in Q4 (3.5%) and down $54.2B (-11.3%) over 12 months.
Australia was listed in sixth place with $242.2 billion, or 2.7% of worldwide assets. Its MMFs decreased by $837 million, or -0.3%, in Q4. Japan, the 7th ranked country, saw MMF assets decrease $4.8 billion, or -3.8%, in Q4'21 to $120.8 billion (1.4% of the total); they've decreased $11.5 billion (-8.7%) for the year. Korea was in 8th place with $114.2 billion (1.3%); assets there fell $6.3 billion (-5.2%) in Q4 and decreased by $2.0 billion (-1.7%) over 12 months. Brazil was in 9th place, assets decreased $11.8 billion, or -11.8%, to $88.3 billion (1.0% of total assets) in Q4. They've decreased $4.2 billion (-4.5%) over the previous 12 months. ICI's statistics show Mexico back in 10th place with $69.7B, or 0.8% of total assets, up $5.4 billion (8.4%) for the year. (Mexico didn't report last quarter.)
India was in 11th place, increasing $4.6 billion, or 7.8%, to $64.0 billion (0.7% of total assets) in Q4 and decreasing $190 million (-0.3%) over the previous 12 months. Chinese Taipei ($31.0B, down $2.3B and down $5.6B over the quarter and year, respectively) ranked 12th ahead of United Kingdom. ($29.8B, up $693M and up $564M). Canada ($26.1B, down $247M and down $6.7B) and South Africa ($23.4B down $866M and down $6.4B), rank 14th and 15th, respectively. Switzerland, Chile, Norway, Argentina, and Germany round out the 20 largest countries with money market mutual funds.
ICI's quarterly series shows money fund assets in the Americas total $4.986 trillion, up $275.6 billion in Q4. Asian MMFs increased by $19.3 billion to $2.074 trillion, and Europe saw its money funds increase by $88.9 billion in Q4'21 to $1.750 trillion. Africa saw its money funds decrease $866M to $23.4 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.)
