Liquid options for cash investors
For 50 years, money market funds (also known as liquidity funds) have been providing institutional cash investors and treasury professionals with attractive levels of security, liquidity and yield compared to conventional deposits or direct investments in money market securities. However, building a robust liquidity investment strategy requires a thorough understanding of the structure of money market funds, as well as the interest rate, liquidity and credit risks that they are subject to.
USD 6.5 tn
Global money market fund assets (iMoneyNet as at 30 June 2023)
USD 4.5 tn
Institutional assets in global money market funds (Wind Data as at 30 June 2023)
It’s also crucial that investors understand the fundamental characteristics of different money market fund options, and that they are able to implement a cash segmentation strategy that is needed to employ step-out strategies, such as ultra-short duration bond funds, as part of an optimised cash portfolio solution.
Get started with money market funds
Our Global Liquidity Investment Academy is designed to take cash investors through the three key stages of money market fund investing.
Choosing a liquidity product
Gain a clear understanding of the differences in product structures and holdings, and see which products could help to optimise your cash strategy.Discover more
Evaluating and managing risks
Understand the inherent interest rate, liquidity and credit risks associated with liquidity products, and learn how to mitigate these risks.Discover more
Regulation and due diligence
Recognise the rules and regulations that govern money market funds, and find out how to select liquidity managers using an effective due diligence process.Discover more