Editorial Board
Fix Money-Market Funds Before the Next Crisis
This article is for subscribers only.
The U.S. Securities and Exchange Commission blew a chance last year to reduce the odds that money-market mutual funds will play a starring role in another financial crisis, as they did in 2008.
The agency will take another swing at reform this week when it votes on a plan to make the funds less vulnerable to investor panics. Although the agency hasn’t released a draft proposal, Bloomberg News that the SEC will do away with the fixed $1 a share price for some money-market funds.