Data Update: Money Market Funds and the Eurozone Debt Crisis

By Emily Gallagher and Chris Plantier

January 13, 2012

In October and December, we discussed how portfolio managers of U.S. prime money market funds have addressed the ongoing debt crisis in the eurozone. Here is a look at the latest monthly data on these funds’ holdings by home country of issuer. Holdings of French issuers continued to fall in December, and almost 80 percent of these French holdings are either short-dated collateralized repurchase agreements or other instruments that mature in seven days or less. We will revisit the topic in mid-February with updated analysis once January figures become available.

U.S. Prime Money Market Funds’ Holdings of Eurozone Issuers

Percentage of prime funds’ total assets, end of month

Note: Data exclude prime money market funds not registered under the Securities Act of 1933.

Sources: Investment Company Institute tabulation of publicly available Form N-MFP data prior to May 2011; ICI tabulation of data provided by Crane Data thereafter

Prime Money Market Funds’ Holdings by Home Country of Issuer

December 31, 2011

Country Billions of dollars Percentage of assets
World Total $1,347.0 100%
Europe 464.6 34.5
Eurozone 159.9 11.9
France 43.1 3.2
Germany 57.9 4.3
Netherlands 55.7 4.1
Belgium 0.5 0.0
Austria 2.0 0.1
Spain 0.6 0.0
Luxembourg 0.1 0.0
Italy 0.0 0.0
Non-eurozone 304.7 22.6
UK 123.7 9.2
Switzerland 86.9 6.5
Sweden 78.1 5.8
Norway 12.6 0.9
Denmark 3.4 0.3
Americas 630.1 46.8
USA 476.1 35.3
Canada 153.6 11.4
Chile 0.4 0.0
Asia and Pacific 237.2 17.6
AUS/NZ 116.0 8.6
Japan 119.3 8.9
India 0.5 0.0
Singapore 1.4 0.1
Korea 0.0 0.0
Supranational 1.2 0.1
Unclassified 13.9 1.0

Note: Calculations are based on a sample of 100 funds, representing an estimated 93.7 percent of prime funds’ assets.

Source: Investment Company Institute tabulation of data provided by Crane Data

For more on money market funds, please visit ICI’s Money Market Funds Resource Center.

Emily Gallagher is an ICI Research Associate, and Chris Plantier is an ICI Senior Economist.