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pulled $41.6 billion from money-market mutual funds in the week ending Tuesday, a week after $15.7 billion was withdrawn.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

Subscribe today!

Subscribe today!

Get 8 weeks of digital access to The Seattle Times for $1

Advertising

Advertising


Advertising
The Seattle Times

To keep reading, you need a subscription.

We hope you have enjoyed your complimentary access. Subscribe now for unlimited access!

Subscription options ►

Already a subscriber?

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

Subscriber login ►