Tianhong Yu'e Bao's 7-day annualized yield officially drops below 1%

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“National Wealth Management Tool” — Tianhong Yu’e Bao, the 7-day annualized yield officially fell below 1% on May 2nd.
For individual investors, a yield below 1% means that the daily income per 10,000 yuan held is less than 0.27 yuan.
An industry insider stated that in a low-interest-rate environment, the low yields of money market funds may become the norm, but the essential status of money funds as cash management tools will not change, and the overall scale is expected to remain stable.
Market institutions will also adopt supportive strategies, fee reductions, and other measures to continuously enhance the market appeal of such products.
In fact, since the beginning of this year, the yields of money market funds have continued to decline.
Wind data shows that as of May 2nd, the average 7-day annualized yield of 351 money market funds in the market (calculated across different shares, excluding net value-based money funds) was 1.0473%, down 9.66 basis points compared to the beginning of the year.
Among them, 107 products had a 7-day annualized yield below 1%, accounting for about 30%.
(Consolidated Finance)

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