The Fed voted to increase rates by 25 bps at the recent FOMC meeting. Since March of last year, the Fed has raised the target range of the Fed Funds rate at eight consecutive meetings. The Fed’s December Summary of economic projection shows expectations for higher rates in 2023. The MMDT Cash pool daily net yield climbed to 4.77% as of 2/27/23.Current Cash Pool 7-day net yield View Yields
An official increase in rates provides the Cash Pool with the opportunity to reinvest more portfolio assets at even higher levels.
For more information on how you can seek to take advantage of a rising-rate environment and invest in the MMDT Cash Portfolio, call 617-335-0770.
MMDT Short Term Bond Pool
With rates nearing a peak, now could be a good time to review investment options for capital that can be committed for a longer time period than typical operating cash (i.e. OPEB, longer term operating cash, retirement, trust funds). The MMDT Short Term Bond Pool offers a competitive yield and total return record, with appropriate risk characteristics for our public sector clients.Article Coming to terms
Investors have begrudgingly capitulated to a still-hawkish Fed.
Acceptance is hard, and the financial markets have struggled with it this year. Investors turned relief about moderating inflation and a slowing pace of Federal Reserve rate hikes into the expectation that the conclusion of the tightening cycle is imminent.
Deborah A. Cunningham, CFA
Brian R. Willer, CIMA®,CFA
Senior Vice President
Senior Sales Representative
Brian is responsible for relationship management with MMDT participants.
Caroline Kafafian, CIMA®
MMDT Associate Sales Representative
Caroline is responsible for relationship management with MMDT participants.
Wayne is responsible for managing the MMDT Participant Services team from the High Street office.