Anthony Alfidi
Securities and Exchange Commission (SEC) rules dictate the fund portfolio must maintain aweighted average maturity(WAM) of 60 days or less.Just like othermutual funds, money market funds issue redeemable units (shares) to investors and must follow guidelines set out by the SEC. All the attribute...
Currently, the board of a non-government money market fund is permitted to impose a liquidity fee of up to 2% or temporarily suspend redemptions for up to 10 business days in a 90-day period if the money market fund’s “weekly liquid assets”[4]fall below 30% of its total assets, a...
How short is “short term” for the securities in which money market mutual funds can invest? The rules that govern money market mutual funds permit the funds to buy only securities that mature in 397 days or less. At least 50% of the fund’s total assets must be invested in Weekly Liq...
These rules were intended to provide more stability and resilience by placing tighter restrictions on portfolio holdings and introducing provisions for imposing liquidity fees and suspending redemptions.6Like other investment securities, money market funds are regulated under the Investment Company Act of ...
The proposing release will be published in the Federal Register and the SEC’s website. Sources: SEC Proposes Amendments to Money Market Fund Rules (www.sec.gov) Proposed Rule (www.sec.gov) Fact Sheet (www.sec.gov)
After the financial crisis in 2007 and 2008, the government implemented new rules to limit the risks of money market funds and make those remote risks even more remote. With a money market fund, you can feel confident you won’t deal with any sudden volatility and lose a big chunk of ...
The Council also continues to push for stricter rules to address the risks to financial stability posedbymoney market funds. eng.embassyusa.cn eng.embassyusa.cn 该委员会还继续推进更严格的监管法规,应对货币市场基金产生的金融稳定风险。 embassyusa.cn ...
SEC Finally Approves New Money Market Fund Rules The article reports that the U.S. Securities and Exchange Commission (SEC) adopted the mooned market fund reform rules focused on addressing the investor risks including net asset value (NAV) for money market fund and non-government funds. J Mon...
8.1.9.3 Money market funds A money market fund is an open-ended fund that invests in short-term fixed-income securities such as US Treasury bills and commercial papers. Money market funds seek to limit exposure to losses from credit, market, and liquidity risks. Money market funds aim to ma...