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What is the relationship between the interest rate of Yu 'ebao returning to 4%?

On May 11th, the 7-day annualized rate of return of the world's largest monetary fund reached 4%, which was the first time that Yu 'ebao returned to this node after it fell below 4% in June 215. In the first quarter of this year, the management scale of Yu 'ebao has exceeded one trillion yuan, reaching 1,139.638 billion yuan.

a big background of the break of Yu' ebao's interest rate of 4 is that the regulators have increased their control over the leverage ratio, and the liquidity of the financial system has continued to tighten. However, due to the tightening of the central bank's monetary policy and the end-of-season assessment of MPA, the 7-day pledged repo rate in the interbank market rose to 5% in late March, so the yield of wealth management products further outperformed the one-year benchmark deposit rate.

according to moody's, an international rating agency, when Yu' ebao was first launched in 213, most of its docking assets were bank deposits. However, by the end of the first quarter of 217, the proportion of interbank deposit receipts in fund investment had more than doubled, while the proportion of bank deposits had declined for two consecutive quarters. The top ten bonds currently held by Yu 'ebao are interbank deposit certificates issued by joint-stock banks and city commercial banks.

Big banks are net fund providers, while small and medium-sized banks and securities companies are net borrowers. Due to the thirst for funds, since the second half of 216, city commercial banks and rural commercial banks as a whole have become the incremental main force in the issuance of interbank deposit certificates. If joint-stock banks are added, they currently account for more than 9% of the issuance share of interbank deposit certificates.

apart from Yu' ebao, there are as many as 183 money funds in the market with annualized returns of over 4% on the 7th, among which, China Europe Junying Currency B, Furong Currency B and Pioneer cash treasure are among the top gainers, with annualized returns of over 4.65% on the 7th.