U.S. Regulators Said to Step Up Scrutiny of Fund Liquidity
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U.S. financial regulators are stepping up inquiries into whether funds that buy debt are prepared for an exodus of investors as the central bank moves closer to raising interest rates for the first time in nine years.
The U.S. Securities and Exchange Commission and the Federal Reserve have been asking money managers about their ability to meet daily redemption requests from investors, said three people with direct knowledge of the matter who asked not to be identified discussing private conversations.