Skip to main content
Advertising

Originally published Saturday, October 19, 2013 at 8:04 PM

  • Share:
             
  • Comments (0)
  • Print

Money funds continue to see investor exodus

Investors pulled $41.6 billion from money-market mutual funds in the week ending Tuesday, a week after $15.7 billion was withdrawn.


Bloomberg News

Most Popular Comments
Hide / Show comments
No comments have been posted to this article.
Start the conversation >

advertising

Investors kept pulling billions from U.S. money-market mutual funds in the week ending Tuesday, withdrawing $41.6 billion, or 1.6 percent of total assets, as concern grew over lawmakers’ inability to strike a budget deal that would avert a default on Treasury securities, an issue that was finally resolved Wednesday night.

The exodus was punctuated by the withdrawal of $21.6 billion on Oct. 11, according to research firm Crane Data in Westborough, Mass.

Investors pulled $15.7 billion in the preceding week. While the spike appeared connected to the approaching debt ceiling, it was exacerbated by companies moving cash to make payroll and meet a quarterly tax-payment deadline, said Peter Crane, president of Crane Data. “The outflows are still quite manageable,” Crane said. “They’d be worrisome if they continued.”

Several of the largest money-fund providers, including Fidelity and JPMorgan Chase, have said they have sold Treasurys maturing in the next few weeks and are building extra liquidity to meet potential client withdrawals.



News where, when and how you want it

Email Icon

The Seattle Times wins top award for multimedia storytelling

The Seattle Times wins top award for multimedia storytelling

Our Sea Change series received a prestigious 2015 DuPont-Columbia award for showcasing the power of storytelling on the Web. Experience the report here.

Advertising

Advertising

Career Center Blog

Career Center Blog

Looking for joy on the job


Advertising
The Seattle Times

The door is closed, but it's not locked.

Take a minute to subscribe and continue to enjoy The Seattle Times for as little as 99 cents a week.

Subscription options ►

Already a subscriber?

We've got good news for you. Unlimited seattletimes.com content access is included with most subscriptions.

Subscriber login ►