The changes are a series of measurements designed to make the financial system more robust, the firm said. However the new regulation would impact the amount of investments available for money market funds.
“One of the measures will be to place additional capital requirements on banks. As a consequence, it is likely there will be less appetite for issuance or deposits of a short-term nature, which would reduce the pool of investments available to money market funds, including the fund,” the spokesperson said.
A fixed date has not been set yet and is subject to appending approval from the Financial Conduct Authority (FCA).
“Once the date has been settled, we will confirm it with the fund’s unitholders,” a spokesperson for the company said.
The firm said it has written to unitholders on why the fund is closing, and advising options available to them. These include switching their cash fund holding in a unit trust, redeeming the holding, carrying out an ISA transfer or waiting for further details on additional options.
The £74.8m Jupiter Cash Fund was launched in September 1998 and managed since 2000 by fund manager Caroline Horsford. Over the past year, the fund has delivered a cumulative performance of +0.2% compared to the 0% cumulative performance of the IMA Short Term Money Market index, according to FE Analytics.
