Money fund assets rise by $896 million

Total money market mutual fund assets rose by $896 million to $3.456 trillion for the week, the Investment Company Institute said Thursday.

Assets of the nation's retail money market mutual funds rose by $2.50 billion in the latest week to $1.210 trillion.

Assets of taxable money market funds in the retail category rose by $182 million to $907.18 billion for the week ended Wednesday, the Washington-based mutual fund trade group said. Tax-exempt fund assets rose by $2.31 billion to $303.05 billion.

Assets of institutional money market funds fell by $1.60 billion to $2.246 trillion for the same period. Among institutional funds, taxable money market fund assets fell by $808 million to $2.048 trillion; assets of tax-exempt funds fell by $791 million to $197.43 billion.

The seven-day average yield on money market mutual funds rose in the week ended Tuesday to 1.89 percent from 1.84 percent the previous week, said Money Fund Report, a service of iMoneyNet Inc. in Westboro, Mass. The 30-day average yield fell to 1.87 percent from 1.89 percent, according to Money Fund Report.

The seven-day compounded yield rose to 1.91 percent from 1.86 percent the previous week, and the 30-day compounded yield fell to 1.89 percent from 1.90 percent, Money Fund Report said.

The average maturity of the portfolios held by money funds was 44 days, down from 45 days, Money Fund said.

The online service Bankrate.com said its survey of 100 leading commercial banks, savings and loan associations and savings banks in the nation's 10 largest markets showed the annual percentage yield available on money market accounts was 0.71 percent as of Wednesday, unchanged from the week earlier.

The North Palm Beach, Fla.-based unit of Bankrate Inc. said the annual percentage yield available on interest-bearing checking accounts was unchanged at 0.24 percent.

Bankrate.com said the annual percentage yield was 1.92 percent on six-month certificates of deposit, up from 1.90 percent the previous week. Yields were 2.29 percent on 1-year CDs, up from 2.23 percent; 2.47 percent on 2 1/2-year CDs, up from 2.45 percent; and 3.39 percent on 5-year CDs, up from 3.38 percent.