White offers little on future of MM reform

MAY 05, 2013
Making her first major public speech to an audience of mutual fund executives, Securities and Exchange Commission Chairman Mary Jo White said next to nothing about one of their biggest concerns: a regulatory revamp for money market funds. “As the SEC works to develop and propose meaningful money market fund reform, our goal is to preserve the economic benefits of the product while addressing potential redemption pressures and the susceptibility of these funds to runs — runs in which retail investors are especially likely to suffer losses,” she told the audience at an Investment Company Institute conference in Washington last Friday. The SEC scrapped a proposal last summer that would have offered a couple of alternatives for strengthening rules. One would have allowed the net asset value of funds to fluctuate with changing market conditions; the other would have been to require funds to maintain capital reserves and institute redemption controls. The SEC will re-propose a money fund rule “in the near future,” Ms. White said without offering specifics, even when ICI president Paul Schott Stevens tried to draw her out during a Q&A session.

Latest News

SEC begins onboarding DOGE staff, Reuters reports
SEC begins onboarding DOGE staff, Reuters reports

The agency is establishing a liaison team to partner with the efficiency task force on requests for network, systems, and data access.

Wealth Enhancement, Bluespring add new RIA partners
Wealth Enhancement, Bluespring add new RIA partners

The acquisitive firms' latest deals extend their presence with experienced teams in Texas and Wisconsin.

Blackstone buyout fund closes years late, billions short of initial goals
Blackstone buyout fund closes years late, billions short of initial goals

The alternative investment giant expects fundraising to wrap around the end of the month, effectively taking twice as long as peers that closed in the past year.

What Americans actually want in an advisory relationship
What Americans actually want in an advisory relationship

New research unpacks the top traits clients look for in an advisor, why some advice may leave people dissatisfied, and the factors that fuel trust.

Add Commonwealth Financial – a blockbuster – to the list of potential LPL targets
Add Commonwealth Financial – a blockbuster – to the list of potential LPL targets

Chatter about LPL, a behemoth, buying Commonwealth Financial Network, a boutique, has been building all week.

SPONSORED Retirement plan balances are flourishing. Why are so many advisors missing out on a $3 trillion opportunity?

Participants who receive professional 401(k) advice see higher returns on average, net, than those who don't.

SPONSORED Focus on clients, not compliance – why Gary Corderman found his fit with Farther

This wealth management platform finally delivers on the technology promises other firms couldn't - giving advisors a better way to scale and serve