Tax-exempt money market funds took in new cash for the second time in as many weeks in 2011, gaining $2.098 billion to boost total net assets to $334.26 billion for the week ending Jan. 10, according to the Money Fund Report, a service of iMoneyNet.com.
It was the fourth-straight week of inflows for tax-exempt money market funds since Dec. 15.
The iMoneyNet average, seven-day simple yield for the 481 reporting tax-exempt funds slipped to 0.03% from 0.05%, while the average maturity dropped to 30 days from 31 days the week before.
The inflows follow a gain of $3.66 billion last week, when tax-exempt funds celebrated the new year by boosting their total net assets to $332.16 billion.
The story was considerably different in the taxable market, which is still adjusting to life without new issues of Build America Bonds. That program expired Dec. 31.
Assets of the 1,132 reporting money funds declined by $3.11 billion in the week ending Jan. 11, after plunging $15.65 billion the week before. Total net assets fell to $2.440 trillion from $2.443 trillion.
The yield for the taxable money funds remained at 0.03%, while the average maturity increased to 46 days from 44 days.
Overall, the combined 1,613 money market funds in the report lost $1.017 billion and finished with $2.774 trillion for the week ending Jan. 11. The previous week saw the funds end up with $2.775 trillion of $11.99 brillion of outflows.
