IRELAND- Scottish Widows Investment Partnership is launching the SWIP Global Liquidity Fund, a sterling institutional money market fund listed in Dublin and expected to approach £4bn (e6.4bn) once fully invested.
The open ended investment company (OEIC) is registered in Dublin and has been awarded the top rating from Moody’s for a money market fund. It has initially launched a Sterling subfund and will register in other European countries, the priority being the UK. Other Euro and Dollar denominated funds are expected to follow.
SWIP says the fund is designed to offer corporate treasurers an alternative to traditional short term money market deposits. Minimum investment for the institutional share class is £5m, shares are issued with a face value of £1 and are valued on a daily NAV basis.
Chris Walker, SWIP’s head of institutional business, says: "in the UK and Europe, we see a trend for pension funds, insurance companies and trust companies wanting to hold short-term cash positions. Regulatory changes also mean that Local Authorities will be able to invest in money market funds from 1 April."