Industry & Business

Value of Irish Money Market Funds Decreased by €16 Billion in September

 Breaking News
  • Strabane Manufacturer to Invest Over £7 Million in Ambitious Expansion Strabane-based Fabplus is planning to more than double its workforce and turnover with support from Invest Northern Ireland. The investment is part of a three year expansion plan to increase its market share in the Republic of Ireland and Great Britain, and gain a foothold in mainland Europe and Scandinavia. Recruitment is underway to employ 83 additional staff at [...]...
  • PM Group Appoints a New Non-Executive Director Michael McNicholas has been appointed as a Non-Executive Director of Project Management Holdings (PM Group), the Irish headquartered international project delivery specialists. Michael McNicholas. Michael has over 35 years’ experience in senior leadership positions in the public and private sectors. He is the former CEO of Ervia, NTR plc and Managing Director of ESB International.  During his [...]...
  • Center Parcs Signs Contract With John Sisk & Son As construction activity on the much anticipated €233 million Center Parcs Longford Forest resort in County Longford ramps up, the company has announced it has formally awarded two major construction contracts to Dublin-based construction firm John Sisk & Son. The contracts for the construction of the 470 lodges and 30 apartments as well as the state-of-the-art centre [...]...
  • Medi-Shower Invests in Innovation to Drive Export Growth Multi-award-winning manufacturer Medi-Shower has created ‘smart showerhead’ technology which can reduce the risk of Legionnaires disease. The cutting edge product, developed with R&D support from Invest Northern Ireland is designed to meet the high requirements for hygiene within the healthcare sector. It reduces the risk of waterborne infection from bacteria that can build up due to poor design [...]...
  • EIB Loan Will Trigger €180 Million Investment Programme in Fingal Fingal County Council has signed a €70 million Framework Loan Agreement with the European Investment Bank (EIB) which will trigger a €180 million investment in strategic infrastructure projects within the county’s Capital Development Plan. This represents the first EIB support for county-wide investment in partnership with an Irish local authority for more than a decade [...]...

Value of Irish Money Market Funds Decreased by €16 Billion in September

Value of Irish Money Market Funds Decreased by €16 Billion in September
November 30
13:34 2016

Net asset value of money market funds (MMFs) in Ireland decreased by €16 billion to €444 billion in September 2016, according to statistics on money market funds during the third quarter of 2016, released by the Central Bank on Tuesday, November 29. This decrease was largely driven by devaluations of the Sterling which makes up 43 percent of MMFs. Negative revaluations totalled €9 billion largely due to currency fluctuations.

The report aslo showed that total debt securities held by MMFs at end September 2016 amounted to €337 billion, compared to €353 billion at end June 2016. Net flows into euro area debt securities amounted to €5.2 billion over the quarter, with outflows in July of €6.3 billion more than offset by positive inflows over the rest of the quarter.

In September 2016, €53 billion of debt securities held by MMFs reported a negative yield (54 percent of which related to debt issued in euro area countries), compared to just €18 billion in September 2015.

The report also showed that a €14 billion transaction outflow in July was largely due to a re-domicile and merger of an Irish resident MMF into another euro area resident MMF.

For debt securities, there was an overall transaction decrease of €9 billion over the quarter. The largest outflow of €6.9 billion was from US debt securities, primarily US government debt. The largest increase was €2.1 billion in holdings of Dutch debt securities.

MMFs’ holdings of government debt securities decreased to €53 billion at end September 2016, from €68 billion at end June 2016. While US government debt accounted for 68 percent (€36 billion) of this total at end-September, it registered the largest quarterly transaction decreases of €6.3 billion over the quarter, occurring evenly across the quarter. MMFs continued to search for yield, reducing exposure to lower yielding government debt.

Net flows into euro area debt securities increased by €5.2 billion over the quarter, with outflows in July of €6.3 billion more than offsetting by inflows over the rest of the quarter. The largest transactions increases occurred with sterling denominated funds increasing holdings of debt issued by euro area banks by €5.7 billion. These reflected portfolio rebalancing within euro area assets, however. The largest transaction outflows occurred within sterling denominated funds, of €3.4 billion from debt holdings issued by euro area ‘other’ government (debt issued by local government and social security funds).  Overall, euro denominated funds recorded the largest transaction inflows over the quarter of €2.9 billion.

About Author

editor

editor

Related Articles






New Subscriber





Subscribe Here



Advertisements
































National Manufacturing Conference & Exhibition 2016

NIBRT Springboard Success Stories



Upcoming Events

  • No upcoming events
AEC v1.0.4