Money Zero Maturity - MZM
A measure of the liquid Money Supply within an economy.
MZM represents all money in M2 less the time deposits, plus all Money Market funds.
MZM has become one of the preferred measures of Money Supply because it better represents money readily available within the economy for spending and consumption. This measurement derives its name from its mixture of all the liquid and zero maturity money found within the three "M's."
The three M,s are as follows:
The sum of Currency held by the public, plus travelers' checks, plus demand deposits, plus other checkable deposits (i.e., negotiable order of withdrawal [NOW] accounts, and automatic transfer service [ATS] accounts, and credit union share drafts.)
M1 plus savings accounts and small-denomination time deposits, plus shares in Money Market mutual funds (other than those restricted to institutional investors), plus overnight Eurodollars and repurchase agreements.
M2 plus large-denomination time deposits at all depository institutions, large-denomination term repurchase agreements, and shares in Money Market mutual funds restricted to institutional investors.
Henley & Partners Group Holdings Ltd