Outflows from money market funds reached epic proportions as the combined assets of 1,664 funds suffered their third-largest ever one-week decline, plummeting $75.63 billion to $2.99 trillion for the week ending March 16, according to the Money Fund Report, a service of iMoneyNet.com.

It was the first time that total money fund assets fell below $3 trillion since they hit $3.017 trillion back on Nov. 20, 2007. Cash came flooding out of mostly taxable funds as Monday’s corporate tax deadline loomed, and as a result of competition from the 0.20% effective federal funds rate that drew money for direct cash investments away from the lower-yielding money funds, according to Connie Bugbee, managing editor at iMoneyNet.

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