Alternatives To Deposits

We have seen a rise in the number of requests for money market funds as the yields on these types of funds have increased. This yield increase can be largely attributed to the ECB deposit rate going from 0% in July 2022 to 3.5% in early June 2023.

In response to this, we have sourced the JPMorgan Standard Monet Market Variable Net Interest Asset Value Funds through the Davy Select Platform. 

There are 3 fund options Euro, GBP, and USD which can be dealt daily. The yields (one day current yield as of 3rd October 2023) are:

  • Euro: 3.82% gross – More info on the fund can be found here.
  • GBP: 5.33% gross  – More info on the fund can be found here.
  • USD: 5.66% gross – More info on the fund can be found here.
JPM EUR Standard Money Market (acc.) JPM GBP Standard Money Market (acc.) JPM USD Standard Money Market (acc.)
Currency EUR GBP USD
Ongoing charges * 1%** 1.01% 1.01%
Credit quality AA AA AA

Please note that the funds are only available to Republic of Ireland resident clients.

What is a Money Market Fund:             

J.P. Morgan’s Money Market funds seek to achieve a return in excess of Euro money markets whilst aiming to preserve capital, consistent with prevailing money market rates, and maintain a high degree of liquidity:

  • Money market funds invest in short-term debt from governments, banks, and companies with strong balance sheets, high credit ratings along with other
  • They offer diversification of investments, liquidity and relative stability of
Recent months have seen a significant flow out of deposits and into money market funds globally, which you can read more about here.

Product Details

These Funds seek to achieve a return in the Reference Currency in excess of the applicable [Euro/GBP/USD] money markets whilst aiming to preserve capital, consistent with prevailing money market rates, and maintain a high degree of liquidity.

  • Daily dealing which allows for no fixed term
  • Withdrawals from this product are The product is dealt daily, and as a result there are no penalties incurred for redemptions.
  • Minimum opening balance €100,000

Reasons you might consider Money Market Funds:

  • Yields on money market funds have increased in line with Euro short-term rates and therefore offer a more attractive rate of return than cash deposits.
  • A Money Market Fund can be coupled with an Equity / Multi Asset Portfolio to help diversify or offer growth potential.
  • Also available to corporate clients with significant company funds on

Risks of Investing in Money Market Funds:

  • Interest rate risk
    • In adverse market conditions, the Fund(s) may invest in zero or negative yielding securities which will have an impact on the return of the
    • The value of Debt Securities may change significantly depending on economic and interest rate conditions as well as the credit worthiness of the issuer.
    • Issuers of Debt Securities may fail to meet payment obligations, or the credit rating of Debt Securities may be downgraded.
  •   Credit risk
    •  The credit worthiness of unrated Debt Securities is not measured by reference to an independent credit rating agency.
  •   Exchange rate risk (for USD or GBP)
    • If investing in a foreign currency movements in exchange rates can adversely affect the return of your investment.

Taxation Treatment

The taxation treatment which typically applies is known as ‘Exit Tax’ or ‘Gross Roll Up’. Gains under on the JP Morgan Money Market Fund are taxed (at a rate of 41%) when realised or on each 8th anniversary.



Please note the following:

  • Investment assets such as equities, bonds, property, cash, currencies, commodities, interest rates, etc and derivatives of these and other investments can be volatile high-risk investments that can significantly fall as well as rise in value.
  • The value of an investment is not secure and an investment may be worth less than the original values invested.
  • Investment gains and losses are determined by a range of factors, including currency rate movements. Past performance is not a reliable guide to future performance.
  • In extreme circumstances, an investment provider (e.g. a country, a bank, an insurance company, other financial institutions, etc) may not be in a position to meet their obligations to investors, and in such extreme circumstance, investors may lose some or all of their original capital and/or returns on capital secure investments.
  • The payment of any benefit from an investment with a third-party provider is subject to the provider’s ability to make such payments.
  • Tax changes and other changes in law and in practice may adversely affect the benefits payable from an investment


Past performance is no guide to future performance, they are not a reliable guide to the future performance of your fund.
The funds outlined are not guaranteed. 
If you invest in these funds you may lose some or all of the money you invest.
The value of your investment may go down as well as up.


The opinions expressed in this report are based on our best-efforts assessment of financial markets, products, and product providers. Opinions in relation to performance, volatility and correlation have been formed on the basis of data provided by third parties.

The portfolio rationale is framed in the context of investments, pensions and other medium/long-term investment instruments.