Money Market Funds May Face Tougher Regulation in IOSCO Plan
By Jim Brunsden -
2012-04-27T14:50:55Z
Global regulators are weighing tougher rules for money market funds over concerns that they may amplify future financial crises.
“Confidence shocks” in such funds can “quickly have a broader macroeconomic impact,” the International Organization of Securities Commissions said in a document published today on its website.
Options being considered by regulators include imposing stricter liquidity requirements on money market funds, and reducing their reliance on credit ratings, IOSCO said.
IOSCO, based in Madrid, is seeking views on the plans until May 28.
To contact the reporter on this story: Jim Brunsden in Brussels at jbrunsden@bloomberg.net
To contact the editor responsible for this story: Anthony Aarons at aaarons@bloomberg.net
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