SEC Imposes Money-Market Fund Rules to Thwart Rapid Outflows

  • Agency approves sweeping overhaul to fund rules on Wednesday
  • $5.5 trillion industry will face new fees, liquidity levels

SEC headquarters in Washington, DC.

Photographer: Graeme Sloan/Bloomberg
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Money-market funds are getting their biggest rules overhaul in years after Wall Street’s top regulator finalized a plan to stem rapid outflows during times of financial stress.

The US Securities and Exchange Commission decided Wednesday to require fees that could significantly affect a key corner the $5.5 trillion industry. Although the regulations will make it more expensive to yank money during tumult, the regulator backed off a “swing pricing” proposal that the industry opposed.