Money market fund inflows rose in the latest week, helping push the funds' total assets to another new record as yields continued to fall, according to iMoneyNet's Money Fund Report.
The funds had inflows of $55.63 billion in the week that ended Tuesday, putting total assets at $3.596 trillion. Taxable inflows totaled $59.74 billion, including $39.2 billion into prime funds, while tax-free funds had outflows of $4.11 billion because yields kept slumping.
Taxable money market assets had record assets of $3.103 trillion, the third straight new standard.
In prime funds, which invest in securities such as commercial paper, institutional investors added $32.83 billion while individual investors put in $6.36 billion.
Investors pulled away from prime funds for a time after the Reserve Primary Fund "broke the buck" in September, meaning net asset values fell below the hallowed $1 a share. That had not happened to a money market fund in 14 years and temporarily sent a chill through the industry for fund operators and investors alike.
Government funds had $20.54 billion of inflows, according to iMoneyNet, as yields steadied, holding flat for institutions and falling modestly for individuals. Their average seven-day yield dropped to 0.58% from 0.64% a week earlier.