The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Reich and Tang Swallows a Money Fund Not Rated 1.0 Email Routing List Email & Route  Print Print
Tuesday, November 17, 2009

Reich and Tang Swallows a Money Fund

Reported by Daniel Tovrov

Shareholders of Sentinel Investments' Government Money Market Fund saw their money change hands on Friday. Assets from the fund, which closed to new investments on October 12, have been transferred to Reich & Tang's U.S. Government Portfolio of the Daily Income Fund, an unaffiliated money market fund. The compounded funds share similarities in investment strategies and objectives, which reinforced the approval from the boards of both funds.

Investors should see yields raise and expenses shrink, going from 76 basis points to 52 bps, from the shift from the Sentinel's money market fund to the U.S. Government Income Portfolio, according to an SEC filing. Shareholders of the Sentinel Government Money Market Fund's class A and class B funds will receive shares of the institutional service class of the U.S. Government Portfolio. Sentinel is allowing investors who move shares to the Reich & Tang fund to reinvest those shares in other Sentinel funds after November 13, but currently, Sentinel offers no other funds with congruent strategies.

"This innovative solution creates an opportunity for Sentinel to continue to offer a money market fund option to their clients while leveraging the expertise and scale of a proven money fund manager," stated Michael Lydon, President and Chief Executive Officer of Reich & Tang Funds.

Sentinel will continue to provide record keeping and client services for its investors.

"This is not representative of a major trend," said Peter Crane, of Crane Research. "This doesn't indicate that people are getting out of the business, but little treasury funds would be the first to go."  

Stay ahead of the news ... Sign up for our email alerts now

 Do You Recommend This Story?

Return to Top
 News Archives
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Add to My Yahoo!
follow us in feedly

©All rights reserved to InvestmentWires, Inc. 1997-2020
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use