Mutual funds lose $10.63 billion this week

Mutual funds lose $10.63 billion this week

Overall assets of mutual funds shed $10.63 billion to $2.803 trillion this week, Investment Company Institute said on Thursday.

Meanwhile, assets of retail money market mutual funds dropped to $958.21 billion after losing $6.36 billion during the same period, while assets of taxable funds dropped by $4.63 billion to $753.97 billion, and tax-exempt assets declined $1.73 billion to $204.24 billion.

The Washington-based mutual fund trade association also said that assets of institutional money market funds decreased $4.26 billion to $1.845 trillion, with taxable assets within the category dropping $4.47 billion to $1.718 trillion, and tax-exempt funds gaining $210 billion to $127.29 billion.

Portfolio average maturity increased slightly from 44 days to 45 days from last week, Money Fund Report added.

A nationwide survey by Bankrate.com of 100 commercial banks, savings banks, and savings and loan firms in 10 major markets, revealed that the yearly percentage yield on money market accounts was stagnant for the second straight week at 0.19 percent.

Bankrate's North Palm Beach, Florida business unit said that the annual percentage yield for checking accounts was also static at 0.11 percent.

The survey also said that the annual percentage yield on six-month deposit certificates was down 0.33 percent from 0.34 percent last week.

According to Money Fund Report owned by iMoneyNet Inc., a provider of money market mutual fund information and analysis, the seven-day average yield on taxable money market mutual funds was unchanged for the 14th consecutive week, while the 30-day average yield also stayed at 0.04 percent.

Posted by James Fried on Monday September 27 2010, 9:11 AM EST. All trademarks acknowledged. Filed under Featured News, Finance. Comments and Trackbacks closed. Follow responses: RSS 2.0