For the first time ever, weekly assets of tax-free money market funds surpassed $500 billion as they soared to $504.8 billion for the week ending April 7, according to the Money Fund Report, a service of imoneynet.com.
Gaining $11.47 billion in inflows, the funds broke their previous asset record of $493.3 billion set on March 31.
The seven-day yield for the 546 funds in the report dropped 25 basis points to 1.58% from 1.83%, while the average duration remained unchanged at 26 days.
The 1,277 taxable funds in the report, meanwhile, also experienced record high growth, taking in $45.98 billion to boost total assets to $2.985 trillion for the week ending April 8. The previous record of $2.970 trillion was set on March 25.
As a result of both asset classes taking in a combined $57.44 billion in inflows, the industry overall also shattered previous records. The assets of the 1,823 reporting funds climbed to a high of $3.490 trillion, beating the all-time high record of $3.460 trillion on March 25.