News Archives: September, 2025
Bloomberg writes, "America Inc. Swaps Decades for Days in Rush to Commercial Paper," which explains, "Once a $2 trillion cornerstone of global finance, the US commercial paper market was left in disarray following the 2008 crisis. Now, after years in the shadows, it's staging an unexpected comeback. Uber Technologies Inc. rolled out a $2 billion commercial paper plan in June, according to its latest quarterly filing. That followed Netflix Inc.'s $3 billion facility a month earlier. Coca-Cola Co., PepsiCo Inc., Philip Morris International Inc. and Honeywell International Inc. have all tapped the market in recent months, selling billions worth of the short-term IOUs, which typically range in maturity from 30 to 90 days." (Note: With just under 3 weeks to go, register ASAP for our European Money Fund Symposium, which is Sept. 22-23, 2025 in Dublin!)
The article continues, "The renewed embrace of commercial paper is fueling the biggest expansion in the market since 2006, and underscores just how dramatically corporate America has been shifting its funding mix. Faced with elevated interest rates and tariff turmoil, companies have moved to shore up cash buffers while avoiding locking in higher long-term borrowing costs, especially with potential Federal Reserve rate cuts on the horizon. The pivot mirrors a similar move by the Treasury, which has ramped up issuance of short-term T-bills to cover the US budget gap. 'We're buying more commercial paper than we've ever bought' said Deborah Cunningham, CIO for Liquidity at Federated Hermes, which manages $846 billion of assets."
Bloomberg writes, "But rising rates in recent years have made commercial paper more alluring for companies seeking to avoid locking in higher rates for longer, pushing total commercial paper outstanding to $1.4 trillion -- near the highest since 2009. With signs that the Fed is set to cut its policy benchmark for the first time since December at this month's meeting, demand for short-term debt is poised to climb further as companies position for lower borrowing costs ahead."
They quote Garrett Strum, portfolio manager and money-market analyst at Janus Henderson Investors, "From the perspective of a corporate treasurer, if you believe we're entering into another round of easing, you want to be able to refinance quickly and lower those interest-rate costs. Commercial paper is a perfect vehicle for that."
The piece adds, "On the demand front, sales have been driven by a growing number of investors trying to eke out gains while hoarding record amounts of cash. So-called prime funds that invest heavily in the debt held about $302 billion of commercial paper in July -- the highest since May 2016, according to Investment Company Institute data."
In other news, a press release titled, "Janus Henderson Launches Charitable Investment Accounts" tells us, "Janus Henderson (JHG) has announced the launch of Janus Henderson Charitable Investment Accounts to give all Americans access to the tools utilized by sophisticated investors to maximize their charitable reach while taking advantage of the tax benefits such accounts can create. Investors who want to maximize their charitable deductions before changes to U.S. tax law coming into effect in 2026 -- which may limit an investor's deductions -- can now do so with a Janus Henderson Charitable Investment Account."
It explains, "Through the efficiency of the Givinga technology platform, these accounts have industry leading features such as no account minimums, no contribution minimums, grants as low as $50, and a simple account fee structure of a flat 0.3%, which currently is approximately half the base fees for the largest donor advised fund providers. A Janus Henderson Charitable Investment Account is the only platform where cash balances are swept into the American Cancer Society Support – Class D Shares of Janus Henderson's Government Money Market Fund (ACDXX), and the firm donates one half of its management fees from the Fund to the American Cancer Society. Donors can also invest their Charitable Investment Account in a range of asset allocation solutions targeting conservative, moderate, or growth objectives. These Charitable Investment Accounts are powered by Givinga's financial-grade technology and giving infrastructure, providing access to over 2.1 million charities globally."
The release adds, "Janus Henderson's Charitable Investment Accounts are part of the firm's Brighter Future Project. The Brighter Future Project looks for innovative ways to enhance Janus Henderson's positive impact on clients, employees, and the communities it serves, creating a virtuous cycle of impact. To learn more about Janus Henderson Charitable Investment Accounts, please visit https://www.janushendersoncharitable.org/." (For more, see our Sept. 18, 2024 Crane Data News, "Janus Offers MMF to Support American Cancer Society; Weekly Holdings.")
Finally, a publication called TreasuryXL published a Q&A with Aviva Investors, titled, "How Treasurers Manage Cash When It Matters Most." It states, "When cash stops coming in but the outflows keep going, treasurers are tested. In this interview, Wout van Wijlick (treasuryXL) asked the Aviva Investors team how treasury professionals share how treasurers handle those moments -- what they focus on, how they forecast, where they hold cash, and what's changed in the last few years."
Aviva's Tony Callcot says, "Fortunately, treasurers have cash and liquidity management options available to them. The key factors in selecting treasury tools are access to cash, security of cash -- and, albeit usually a distant third in terms of priorities, the yield available. Bank deposits can satisfy these requirements. On the other hand, managing a portfolio of multiple banking relationships can be complex. Money market funds -- which also provide ready access to cash -- can help in providing diversification in an operationally efficient manner."
It quotes Alastair Sewell of Aviva, "We see two clear trends in liquidity management. The first is that many corporates are cash rich, reflecting current market uncertainty due to global conflicts and a shifting geopolitical landscape. This situation can change rapidly, bringing both opportunities and challenges that impact cash. Second, interest rates are falling. The latest forecasts suggest the ECB is nearing the end of its rate-cutting path, while the Fed and the Bank of England may still have some way to go: Reassuringly, the consensus is that interest rates won't fall back to the lows of the 2000s, meaning treasurers should continue to benefit from healthy income levels on their cash. However, it's crucial to consider how cash is allocated in a declining rate environment. Bank deposits may not offer the best interest rates, whereas money market funds usually target rates available in the interbank market, such as ESTR."
When asked, "What are your current weightings in money market funds versus bank deposits, and have they changed in the last year?" Aviva's Tarek Smili replies, "Many treasurers have increased their use of fixed deposits recently. These deposits offer a fixed interest rate for a set period but are typically not breakable, meaning the cash is not available on demand. Due to the importance of cash access, prudent treasurers limit their use of fixed deposits. If yield is a priority, there are other options. 'Standard' money market funds can provide higher yields than 'regular' money market funds or overnight bank deposits. Ultra-short duration bond funds are another option, offering access to cash with one- or two-days' notice while potentially providing higher returns and diversification."
Discussing, "[M]isconceptions treasurers might have about the role or risk profile of MMFs in a cash portfolio," Callcot responds, "Many treasurers already use money market funds, which had over $11 trillion in assets under management by March 2025. Despite past issues, including the 2008 financial crisis, regulatory reforms have made these funds safer and more resilient. Modern money market funds proved their stability during the 2020 Covid-19 market stress and the UK's 2022 gilt crisis. Today's money market funds are vastly different from those in 2008 and can be a crucial part of any treasurer's liquidity management strategy."
While Crane Data makes final preparations for our European Money Fund Symposium, which will take place Sept. 22-23 in Dublin, we're also ramping up preparations for our next Money Fund University conference, which will be in Pittsburgh, Dec. 18-19. Crane's Money Fund University is designed for those new to the money market fund industry or those in need of a concentrated refresher on the basics. The event also focuses on hot topics like money market fund regulations, money fund alternatives, offshore markets, and other recent industry trends. Our educational conference features a faculty of the money fund industry's top lawyers, strategists, and portfolio managers, and the Pittsburgh show will include our Holiday cocktail party Dec. 18 and a free product training session for Crane Data clients. We review the MFU agenda and some other upcoming conferences, below.
Money Fund University offers a 2-day crash course on money market mutual funds, educating attendees on the history of money funds, the Fed, interest rates, ratings, rankings, and money market instruments such as commercial paper, Treasury bills, CDs and repo. We also cover portfolio construction and credit analysis. Registrations are $750 and are now being taken, and the latest agenda is available here. (E-mail us to request the latest brochure, and make your hotel reservations here!)
The morning of Day One (12/18/25) of the 2025 MFU agenda includes: History & Current State of Money Market Mutual Funds with Peter Crane of Crane Data; The Federal Reserve & Money Markets with Katie Craig of BofA; Ratings, Monitoring & Performance with Steven Johnson of Fitch Ratings and Andrea Valverde of S&P Global; and, Instruments of the Money Markets Intro with Pankaj Vohra of J.P. Morgan Securities.
Day One's afternoon agenda includes: Repurchase Agreements with Christopher Clarke of J.P. Morgan Secs; Treasuries & Govt Agencies with Sue Hill of Federated Hermes and Matt Lachance of TD Securities; Commercial Paper & ABCP with Rob Crowe of Citi Global Markets and Greg Jensen of Citi Global Markets; CDs, TDs & Bank Debt with Vanessa McMichael of Wells Fargo Securities; and, Credit Analysis & Portfolio Management with Mark Weiss of and John Wyda of Federated Hermes. (Note: Crane Data will host its Holiday Party alongside MFU. Clients and friends are welcome to join us at the Westin Hotel in Pittsburgh on Thursday, Dec. 18 from 5-7:30pm!)
Day Two's (12/19) agenda includes: Money Fund Regulations: 2a-7 Basics & History with Stephen Cohen of Dechert LLP and Jamie Gershkow of Stradley Ronon; Money Fund Reforms: Latest 2a-7 Changes with Jon-Luc Dupuy of K&L Gates LLP and Stephen Cohen of Dechert LLP; European MMFs & Ultra-Short Funds with John Hunt of Sullivan & Worcester LLP and Peter Crane of Crane Data; and Money Fund Data & Wisdom Demo/Training with Peter Crane. The conference ends with its annual MFU "Graduation" ceremony (where diplomas are given to attendees).
New portfolio managers, analysts, investors, issuers, service providers, and anyone interested in expanding their knowledge of "cash" investing should benefit from our comprehensive program. Even experienced professionals may enjoy a refresher course and the opportunity to interact with peers in an informal setting. Exhibit space for Crane's Money Fund University is $2,000, and sponsorship opportunities are $3K (Bronze), $4K (Silver), and $5K (Gold). A block of rooms has been reserved at The Westin Convention Center Pittsburgh Hotel. (Please reserve before 11/18.)
We'd like to thank our past MFU sponsors – Fitch Ratings, CastleOak Securities, Silicon Valley Bank, BlackRock, TD Securities, Capitolis, Northern Trust, Dechert LLP, J.P. Morgan Asset Management, K&L Gates, Dreyfus, Citi and GLMX -- for their support, and we look forward to seeing you in Pittsburgh in December! E-mail Pete Crane (pete@cranedata.com) for the latest brochure or visit www.moneyfunduniversity.com to register or for more details.
Also, the final agenda is available and registrations are still being taken for our European money market mutual fund event. Registration for European Money Fund Symposium is $1,000 USD. EMFS will be held at the Hilton Dublin. Visit www.craneeurosymposium.com to register, and contact us to request the PDF brochure. (Let us know too if you'd like information on sponsorships or speaking in future years too.)
Mark your calendars too for our next Bond Fund Symposium, which will be held in Boston, Mass., on March 19-20, 2026. (Click here to see last year's agenda.) Bond Fund Symposium is the only conference devoted entirely to bond mutual funds, bringing together bond fund managers, marketers, and professionals with fixed-income issuers, investors and service providers. The majority of the content is aimed at the growing ultra-short and conservative ultra-short bond fund marketplace.
Finally, Crane Data is making preliminary preparations for our next big show, Money Fund Symposium, which is scheduled for June 24-26, 2026 in Jersey City, N.J. The agenda will be released later this fall and registrations will open soon. Let us know if you'd like more details on any of our events, and we hope to see you in Dublin in September, in Pittsburgh in December, in Boston in March 2026 or in Jersey City in June 2026. Thanks to all of our speakers and sponsors and for your support!
