Recent Developments Affecting Money Market Funds

February 05, 2009
Three regulatory developments recently were announced that affect money market funds: the Securities and Exchange Commission’s rule allowing money market funds participating in the U.S. Treasury’s Temporary Money Market Fund Guarantee Program to suspend redemptions for longer than seven days upon liquidation; procedures regarding how money market funds can participate in the Money Market Investor Funding Facility (“MMIFF”); and revisions to the MMIFF. This update provides background and other information on these developments.