Vanguard to Liquidate 2 Money Market Funds

The fund giant says it will continue to invest in the money markets in these two states for its national Municipal Money Market Fund and its long-term tax-exempt funds in the Keystone and Garden states.

"Due to the short supply of certain types of municipal securities available in Pennsylvania and New Jersey, we believe these specific municipal money markets no longer offer the market-depth needed to prudently provide these state-specific products in all market conditions," said Vanguard Chief Investment Officer Greg Davis, in a statement. 

The fund giant has told shareholders about its plans and given them "the opportunity to move into another Vanguard fund, including its lineup of other money market funds, or redeem shares prior to the liquidation date, at which time the fund's assets will be sold and the proceeds distributed," it explained.

Vanguard manages some $1.9 trillion in fixed income assets worldwide invested in about 100 products. 

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