ICI Releases FAQs on MMMFs, Shows Huge Weekly Money Fund Inflows.
Click here for the Investment Company Institute's new "Frequently Asked Questions About Money Market Mutual Funds". For the week ended August 22,
money market mutual fund assets increased by an eye-popping $75.35 billion, one of the largest weekly inflows ever, to a record $2.777 trillion. Paradoxically, money funds are benefiting from
turmoil in the extendible asset-backed commercial paper market and lower rates in the Treasury and overnight repo markets.
YTD, money fund assets have increased by $395.1 billion, or 16.6%. Over 52 weeks, assets have increased by a stunning $564 billion, or 25.5%. The vast majority of this week'
s gains occurred in
Treasury and Government money funds, but Prime money market funds also saw inflows says ICI. Money fund $
1.
00 NAVs continue to be
unharmed by the ABCP liquidity crunch, which shows signs of abating.