The Investment Company Institute published its monthly "Trends in Mutual Fund Investing - March 2026" and "Month-End Portfolio Holdings of Taxable Money Funds" on Wednesday. The latest "Trends" shows money fund totals decreasing $16.9 billion, or -0.2%, in March to $7.772 trillion. MMFs increased by $797.2 billion, or 11.4%, over the past 12 months (through 3/31/26). Money funds' March asset decrease follows an increase of $59.9 billion in February, a decrease of $17.3 billion in January, an increase of $170.2 billion in December, $107.7 billion in November, $146.8 billion in October, $104.5 billion in September, $123.4 billion in August, $69.0 billion in July, $29.3 billion in June and $84.7 billion in May. Assets decreased $63.8 billion in April and $10.9 billion last March. Bond fund assets decreased $109.7 billion to $5.574 trillion, and bond ETF assets increased $5.8 billion to $2.399 trillion in March 2026.
The monthly release states, "The combined assets of the nation’s mutual funds decreased by $1.28 trillion, or 4.0 percent, to $30.79 trillion in March, according to the Investment Company Institute’s official survey of the mutual fund industry. In the survey, mutual fund companies report actual assets, sales, and redemptions to ICI.... Bond funds had an outflow of $11.61 billion in March, compared with an inflow of $33.78 billion in February.... Money market funds had an outflow of $29.68 billion in March, compared with an inflow of $45.65 billion in February. In March funds offered primarily to institutions had an outflow of $62.66 billion and funds offered primarily to individuals had an inflow of $32.98 billion."
The Institute's latest statistics show that Taxable MMFs were lower while Tax Exempt MMFs were higher from last month. Taxable MMFs decreased by $19.2 billion in March to $7.627 trillion. Tax-Exempt MMFs increased $2.3 billion to $144.9 billion. Taxable MMF assets increased year-over-year by $788.3 billion (11.5%), and Tax-Exempt funds rose by $8.9 billion over the past year (6.5%). Bond fund assets decreased by $109.7 billion (after increasing by $103.8 billion in February) to $5.574 trillion; they've increased by $389.6 billion (7.5%) over the past year.
Money funds represent 25.2% of all mutual fund assets (up 0.9% from the previous month), while bond funds account for 18.1%, according to ICI. The total number of money market funds was 266, up 1 from the prior month and up from 264 a year ago. Taxable money funds numbered 225 funds, and tax-exempt money funds numbered 41 funds.
ICI's "Portfolio Holdings" confirms an increase in Treasuries and a drop in Repo last month. Treasury holdings remain the largest composition segment. In March, they increased $14.0 billion, or 0.4%, to $3.191 trillion, or 41.8% of holdings. Treasury securities have increased by $468.3 billion, or 17.2%, over the past 12 months. (See our April 13 News, "April MF Portfolio Holdings: T-Bills Inch Higher, Repo Falls, Agencies Flat.")
Repurchase Agreements, the second largest composition segment, decreased $42.7 billion, or -1.5%, to $2.780 trillion, or 36.4% of holdings. Repo holdings have increased $132.8 billion, or 5.0%, over the past year. U.S. Government Agency securities were the third largest segment; they increased $2.7 billion, or 0.3%, to $1.013 trillion, or 13.3% of holdings. Agency holdings have increased by $165.7 billion, or 19.6%, over the past 12 months.
Commercial Paper was in fourth place; CP holdings decreased by $21.5 billion, or -7.2%, to $276.3 billion (3.6% of assets). CP held by money funds fell by $24.5 billion, or -8.2%, over 12 months. Certificates of Deposit (CDs) were in fifth place, down $16.6 billion, or -5.8%, to $270.2 billion (3.5% of assets). CDs decreased $43.9 billion, or -14.0%, over one year. Other holdings decreased to $26.6 billion (0.3% of assets), while Notes (including Corporate and Bank) decreased to $39.7 billion (0.5% of assets).
The Number of Accounts Outstanding in ICI's series for taxable money funds increased to 87.163 million, while the Number of Funds was up 1 to 225. Over the past 12 months, the number of accounts rose by 9.597 million and the number of funds increased by 2. The Average Maturity of Portfolios was 43 days, up 2 days from February. Over the past 12 months, WAMs of Taxable money are up 9 days.
According to Crane Data's separate Money Fund Intelligence Daily series, money fund assets have decreased by $115.6 billion to $8.076 trillion month-to-date in April (as of 4/28). (Our asset series' record high, $8.280 trillion, was set on 3/18/26.) Assets decreased by $49.3 billion in March, but increased by $99.5 billion in February, $32.9 in January and $126.3 billion in December. Crane's MFI Daily series shows money funds growing $132.8 billion in November, $142.1 billion in October, $105.2 billion in September and $132.0 billion in August. They rose $63.7 billion in July, $6.7 billion in June and $100.9 billion in May. MMFs fell by $24.4 billion last April. Note that ICI's asset totals don't include a number of funds tracked by the SEC and Crane Data, so they're almost $400 billion lower than Crane's asset series.
In other news, a release, "Federal Reserve Issues FOMC Statement," tells us, "Recent indicators suggest that economic activity has been expanding at a solid pace. Job gains have remained low, on average, and the unemployment rate has been little changed in recent months. Inflation is elevated, in part reflecting the recent increase in global energy prices. The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run. Developments in the Middle East are contributing to a high level of uncertainty about the economic outlook. The Committee is attentive to the risks to both sides of its dual mandate."
It states, "In support of its goals, the Committee decided to maintain the target range for the federal funds rate at 3 1/2 to 3 3/4 percent. In considering the extent and timing of additional adjustments to the target range for the federal funds rate, the Committee will carefully assess incoming data, the evolving outlook, and the balance of risks. The Committee is strongly committed to supporting maximum employment and returning inflation to its 2 percent objective."
The FOMC explains, "In assessing the appropriate stance of monetary policy, the Committee will continue to monitor the implications of incoming information for the economic outlook. The Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that could impede the attainment of the Committee's goals. The Committee's assessments will take into account a wide range of information, including readings on labor market conditions, inflation pressures and inflation expectations, and financial and international developments."
They add, "Voting for the monetary policy action were Jerome H. Powell, Chair; John C. Williams, Vice Chair; Michael S. Barr; Michelle W. Bowman; Lisa D. Cook; Philip N. Jefferson; Anna Paulson; and Christopher J. Waller. Voting against this action were Stephen I. Miran, who preferred to lower the target range for the federal funds rate by 1/4 percentage point at this meeting; and Beth M. Hammack, Neel Kashkari, and Lorie K. Logan, who supported maintaining the target range for the federal funds rate but did not support inclusion of an easing bias in the statement at this time."
