Money market funds gain popularity with investment platforms, as interest rates rise
FROM brokerages like moomoo to private market exchange ADDX, more investment platforms are offering their customers the ability to invest in money market funds as an alternative to holding cash.
Higher interest rates have made these funds an attractive investment, giving investment platforms an opportunity to compete with banks for customer monies.
On Aug 29, ADDX launched a cash management tool called ADDX Earn. Clients can invest their money in the Lion Global SGD Enhanced Liquidity Fund or Lion Global USD Enhanced Liquidity Fund, both of which have weighted average portfolio durations of less than a year. The funds had weighted average yields to maturity of 2.22 per cent per annum and 2.38 per cent per annum, respectively, as at Jul 31.
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Banking & Finance
Sterling slips as BOE holds rates; hawkish BOJ policymakers pause yen slide
No surprise as Malaysia’s central bank holds key interest rate at 3%
India’s SBI forecasts steady credit growth after quarterly profit beat
Vietnam’s banks face borrowing cost rise as deposits dip
Latest Singapore 6-month T-bill offers cut-off yield of 3.7%
Bank of England set to hold rate at 16-year high