Analysts say Federateds money market funds put it in a strong position, which is one of the reasons the firms stock is up 30% so far this year.
When you look at their mutual fund revenues, theyre better positioned than at any time since they went public in 1998,
And despite the risk that once the market turns around, the money in Federateds money market funds could go back out the door, CEO Chris Donahue thinks the money will, instead, be sticky. Once people come in, they realize that money market funds arent just parking places but cash-management vehicles. So we think the lions share of new assets will stay with us.