Money fund assets rise to $2.621 trillion

AP News
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Posted: Aug 11, 2011 5:31 PM
Money fund assets rise to $2.621 trillion

Total U.S. money market mutual fund assets increased $52.78 billion to $2.621 trillion for the week that ended Wednesday, the Investment Company Institute said Thursday.

Assets of the nation's retail money market mutual funds grew $11.74 billion to $942.58 billion, while assets of institutional money market funds rose $41.04 billion to $1.678 trillion, the Washington-based mutual fund trade group said.

Assets of taxable money market funds in the retail category rose $13.2 billion to $745.80 billion. Tax-exempt fund assets dropped 1.46 billion to $196.78 billion. Among institutional funds, taxable money market fund assets rose $43.29 billion to $1.576 trillion; assets of tax-exempt funds fell $2.25 billion to $102.79 billion.

The seven-day average yield on money market mutual funds was 0.02 percent in the week that ended Tuesday, unchanged from the previous week, said Money Fund Report, a service of iMoneyNet Inc. in Westborough, Mass. The 30-day average yield was unchanged at 0.01 percent.

The seven-day compounded yield was also flat at 0.02 percent, while the 30-day compounded yield remained at 0.01 percent, Money Fund Report said.

The average maturity of the portfolios held by money market mutual funds rose to 40 days from 38 days.

The online service Bankrate.com 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 0.16 percent in the week ended Wednesday, unchanged from the previous week.

The North Palm Beach, Fla.-based unit of Bankrate Inc. said the annual percentage yield available on interest-bearing checking was 0.07 percent, also unchanged.

Bankrate.com said the annual percentage yield on six-month certificates of deposit was unchanged at 0.26 percent. Yields fell to 0.43 percent from 0.44 percent on one-year CDs, fell to 0.68 percent from 0.70 percent on 2 1/2-year CDs; and fell to 1.54 percent from 1.61 percent on five-year CDs.