The SEC's new money-market fund regulations, approved Wednesday, hope to make the funds tougher and safer in the face of economic stress, and the commission now requires money funds to disclose their shadow price over 60 days.
is one of the many firms not troubled by the new regs. In The Wall Street Journal
's "Fund Track" Tuesday
, Federated CIO Debbie Cunningham
said that her company, which manages $313.3 billion in money-market assets, "welcomed the enacted changes 'not so much for what was done, but for what wasn't done,'" referring to the commission's decision to retain $1 net-asset-value pricing.
The regulations may lower fund expenses by "a couple of basis points," speculated Cunningham. Even so, many money managers "aren't all that upset one way or another," noted Peter Crane
, president of Crane Data
. The new rules will likely be a nonevent.
for example, which manages $180 billion in money market assets, had originally proposed a 75-day limit on a fund's weighted average maturity, rather than the 60-day limit approved by the SEC.
"The rule change won't fundamentally affect Vanguard's approach," a Vanguard spokesman told The Journal.
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