Money fund assets fell by $24.55 billion to $2.814 trillion in latest week

Thursday, September 16, 2010

Money fund assets fell to $2.814T in latest week

NEW YORK — Total money market mutual fund assets fell $24.55 billion to $2.814 trillion for the week, the Investment Company Institute said Thursday.

Assets of the nation’s retail money market mutual funds fell $4.58 billion in the latest week to $964.48 billion.

Assets of taxable money market funds in the retail category decreased by $3.58 billion to $758.51 billion for the week ended Wednesday, the Washington-based mutual fund trade group said. Retail tax-exempt fund assets fell $1.01 billion to $205.97 billion.

Assets of institutional money market funds fell $19.96 billion to $1.850 trillion for the same period. Among institutional funds, taxable money market fund assets decreased by $17.70 billion to $1.692 trillion; assets of institutional tax-exempt funds decreased by $2.25 billion to $127.08 billion.

The seven-day average yield on money market mutual funds in the week ended Tuesday remained at 0.04 percent for the 13th week in a row, said Money Fund Report, a service of iMoneyNet Inc. in Westboro, Mass. The 30-day average yield was also flat at 0.04 percent, according to Money Fund Report.

The seven-day and 30-day compounded yields were both unchanged at 0.04 percent, Money Fund Report said. The average maturity of the portfolios held by money funds increased to 44 days from 43 days the previous week.

The online service said its survey of 100 leading commercial banks, savings and loan associations and savings banks in the nation’s 10 largest markets showed the annual percentage yield available on money market accounts was unchanged from the previous week at 0.19 percent.

The North Palm Beach, Fla.-based unit of Bankrate Inc. said the annual percentage yield available on interest-bearing checking accounts also remained flat at 0.11 percent. said the annual percentage yield on six-month certificates of deposit dipped to 0.34 percent from 0.35 percent last week. Yields on 1-year CDs fell to 0.60 percent from 0.61 percent the previous week; dropped to 0.86 percent from 0.88 percent on 2 1/2-year CDs; and were unchanged at 1.71 percent on 5-year CDs.

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