Crane Data's latest Money Fund Intelligence International shows that assets in European or "offshore" money market mutual funds rose over the past 30 days to $1.067 trillion. USD and GBP MMFs fell, while EUR MMFs rose. While up somewhat year-to-date, European MMF assets remain well below their record high of $1.101 trillion set in mid-December 2021. These U.S.-style money funds, domiciled in Ireland or Luxembourg but denominated in US Dollars, Pound Sterling and Euros, increased by $11.3 billion over the 30 days through 7/14. The totals are up $37.0 billion (3.6%) year-to-date. (Note that currency moves in the U.S. dollar cause Euro and Sterling totals to shift when they're translated back into totals in U.S. dollars. See our latest MFI International for more on the "offshore" money fund marketplace. Note that these funds are only available to qualified, non-U.S. investors.)
Offshore US Dollar money funds decreased $4.9 billion over the last 30 days but are up $21.6 billion YTD to $571.1 billion. Euro funds increased E9.9 billion over the past month. YTD, they're up E10.0 billion to E190.4 billion. GBP money funds decreased L5.1 billion over 30 days; they are down by L35.3 billion YTD to L228.1B. U.S. Dollar (USD) money funds (200) account for over half (53.5%) of the "European" money fund total, while Euro (EUR) money funds (110) make up 19.5% and Pound Sterling (GBP) funds (133) total 27.0%. We summarize our latest "offshore" money fund statistics and our Money Fund Intelligence International Portfolio Holdings (which went out to subscribers Monday), below.
Offshore USD MMFs yield 5.04% (7-Day) on average (as of 7/14/23), up from 5.01% a month earlier. Yields averaged 4.20% on 12/30/22, 0.03% on 12/31/21, 0.05% on 12/31/20, 1.59% on 12/31/19 and 2.29% on 12/31/18. EUR MMFs finally left negative yield territory in the second half of 2022; they're yielding 3.35% on average, up from 3.10% a month ago and up from 1.48% on 12/30/22, -0.80% on 12/31/21, -0.71% at year-end 2020, -0.59% at year-end 2019 and -0.49% at year-end 2018. Meanwhile, GBP MMFs yielded 4.78%, up 39 bps from a month ago, and up from 3.17% on 12/30/22. Sterling yields were 0.01% on 12/31/21, 0.00% on 12/31/20, 0.64% on 12/31/19 and 0.64% on 12/31/18.
Crane's May MFI International Portfolio Holdings, with data as of 6/30/23, show that European-domiciled US Dollar MMFs, on average, consist of 22% in Commercial Paper (CP), 16% in Certificates of Deposit (CDs), 35% in Repo, 13% in Treasury securities, 12% in Other securities (primarily Time Deposits) and 2% in Government Agency securities. USD funds have on average 58.0% of their portfolios maturing Overnight, 6.8% maturing in 2-7 Days, 8.7% maturing in 8-30 Days, 7.5% maturing in 31-60 Days, 5.0% maturing in 61-90 Days, 8.4% maturing in 91-180 Days and 5.6% maturing beyond 181 Days. USD holdings are affiliated with the following countries: the US (37.2%), France (13.8%), Canada (11.1%), Japan (9.9%), Sweden (5.0%), the U.K. (4.9%), the Netherlands (3.4%), Australia (2.7%), Germany (2.5%) and Belgium (1.3%).
The 10 Largest Issuers to "offshore" USD money funds include: the US Treasury with $80.3 billion (13.0% of total assets), Fixed Income Clearing Corp with $39.2B (6.4%), Federal Reserve Bank of New York with $26.8B (4.3%), BNP Paribas with $26.0B (4.2%), Citi with $20.1B (3.3%), RBC with $20.1B (3.3%), Sumitomo Mitsui Banking Corp with $18.7B (3.0%), Bank of America with $15.7B (2.5%), Barclays with $15.2B (2.5%) and Credit Agricole with $14.5B (2.4%).
Euro MMFs tracked by Crane Data contain, on average 44% in CP, 21% in CDs, 25% in Other (primarily Time Deposits), 10% in Repo, 0% in Treasuries and 0% in Agency securities. EUR funds have on average 45.8% of their portfolios maturing Overnight, 8.4% maturing in 2-7 Days, 13.3% maturing in 8-30 Days, 12.8% maturing in 31-60 Days, 6.4% maturing in 61-90 Days, 7.8% maturing in 91-180 Days and 5.6% maturing beyond 181 Days. EUR MMF holdings are affiliated with the following countries: France (32.5%), Japan (13.0%), Germany (8.1%), the U.S. (7.8%), Canada (6.1%), Sweden (5.6%), the U.K. (5.2%), Austria (4.4%), Belgium (3.9%) and the Netherlands (3.7%).
The 10 Largest Issuers to "offshore" EUR money funds include: Republic of France with E10.6B (5.8%), Credit Agricole with E9.0B (4.9%), BNP Paribas with E8.9B (4.8%), Credit Mutuel with E8.5B (4.6%), Landesbank Baden-Wurttemberg with E7.2B (3.9%), Erste Group Bank AG with E6.7B (3.7%), Societe Generale with E6.6B (3.6%), Mitsubishi UFJ Financial Group with E6.2B (3.4%), Sumitomo Mitsui Banking Corp with E5.7B (3.1%) and BPCE SA with E5.4B (2.9%).
The GBP funds tracked by MFI International contain, on average (as of 6/30/23): 37% in CDs, 19% in CP, 25% in Other (Time Deposits), 17% in Repo, 2% in Treasury and 0% in Agency. Sterling funds have on average 38.2% of their portfolios maturing Overnight, 11.9% maturing in 2-7 Days, 9.6% maturing in 8-30 Days, 13.7% maturing in 31-60 Days, 10.1% maturing in 61-90 Days, 9.2% maturing in 91-180 Days and 7.3% maturing beyond 181 Days. GBP MMF holdings are affiliated with the following countries: France (18.1%), Canada (15.9%), Japan (15.5%), the U.K. (12.0%), Australia (7.0%), the U.S. (5.5%), the Netherlands (5.1%), Sweden (4.0%), Spain (3.2%) and Singapore (2.6%).
The 10 Largest Issuers to "offshore" GBP money funds include: Toronto-Dominion Bank with L10.7B (4.9%), Mitsubishi UFJ Financial Group Inc with L9.8B (4.6%), RBC with L8.6B (4.0%), BNP Paribas with L7.7B (3.6%), Sumitomo Mitsui Trust Bank with L7.5B (3.5%), BPCE SA with L7.1B (3.3%), Credit Agricole with L7.0B (3.3%), Banco Santander with L6.8B (3.2%), Mizuho Corporate Bank Ltd with L6.2B (2.9%) and Barclays PLC with L6.1B (2.8%).
