US retail money market fund assets hit record $3.05 trillion
Retail money market fund assets reached a record $3.05 trillion in June, up $202 billion year over year, as elevated risk-free yields attract cash.
Retail investors continue to channel cash into US money market funds. Assets reached a record $3.05 trillion in June, a year-over-year increase of $202 billion, according to data cited by The Kobeissi Letter.
The current level is more than triple the amount held at the start of 2022 and roughly double the previous pandemic-era peak from 2020. Since early 2019, retail money market fund assets have grown at a compound annual rate of about 14%.
Elevated short-term yields are a key driver. The Crane 100 Money Fund Index, which tracks the 100 largest money market funds, shows an average yield of 3.57%. That is encouraging retail investors to take advantage of risk-free returns while rates remain high.
Source: The Kobeissi Letter