Investors in the €1.1tn European money market fund industry are facing losses as big managers prepare to pass on the impact of negative short-term interest rates.
Four of the biggest money market fund managers have told the Financial Times that along with the rest of the industry they are looking at ways of passing on negative returns to investors.
The funds are investment vehicles that are marketed as a way to keep cash safe, investing in “ultra-safe” short-term debt and bank deposits. They are used by investors who look to large asset managers such as Goldman Sachs and JPMorgan to invest excess cash safely.
Keep reading: Money market funds look to pass on losses – FT.com.
