JPMorgan Chase & Co., the biggest U.S. bank, closed five ofits European money-market funds to new investments after theEuropean Central Bank lowered deposit rates to zero.
JPMorgan notified clients yesterday that it won't accept newinvestors or money in five euro-denominated money-market andliquidity funds because the rate cut might generate negativereturns for investors, the New York-based company said in a noticeto shareholders.
The ECB yesterday reduced its benchmark rate to a record low of0.75 percent and took its deposit rate to zero, with PresidentMario Draghi saying the cuts may have only a “muted” economicimpact.
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