Last year, money market mutual funds represented 37 percent of the cash sweep vehicle marketplace, making them almost as popular as more traditional overnight sweep products, according to a report released today by Treasury Strategies of Chicago, a strategic consulting firm.

Traditional sweep products, such as individual repurchase agreements and commercial paper, made up 38 percent of the market, according to the report. Last year marked the second consecutive year in which money market funds were the only sector to gain market share within the sweep market. All other sectors declined, according to the report. Since 1999, money fund sweep assets have risen 34 percent. That growth trend is likely to continue, according to the report. Total assets being swept into commercial banking sweep accounts increased over the past year by 23 percent to $270 billion in 2000, the report said.

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