The September issue of Crane Data's Money Fund Intelligence will be sent to subscribers later this morning, along with our August 31, 2012 monthly performance data and rankings. Our Money Fund Wisdom database query website has already been updated, and our Money Fund Intelligence XLS monthly spreadsheet, and Crane Index money fund averages will be released shortly. (Our next monthly Money Fund Portfolio Holdings with 8/31/12 data are scheduled to be released on the 7th business day, Wednesday, Sept. 12.) The latest edition of MFI features the articles: "Money Fund Reform Dies: FSOC Unlikely to Revive," which discusses the recent withdrawal of the SEC's proposal; "Interview w/ICI's Karrie McMillan: In the Trenches," which interviews the Investment Company Institute's General Counsel; and, "Shadow NAVs Show Very Little Floating," which reviews the mark-to-market prices of funds since November 2010.
The Death of Reform piece comments, "It's hard to believe, but it may actually be over. Money market mutual funds managers, who have lived with two virtual death sentences over their heads the last 3 1/2 years -- zero interest rates and radical regulatory change -- had one of them removed in August as the SEC announced that it would not issue a proposal on money fund reforms. Though it's possible that reform will be taken up by the Financial Stability Oversight Council (FSOC) or the Federal Reserve, it is unlikely that either will be able to usurp the SEC's authority over money funds."
Our monthly "profile" on McMillan says, "This month, we interview Karrie McMillan, General Counsel of the Investment Company Institute. The ICI, which is the trade association for the mutual fund industry, and McMillan have been in the forefront of the money market fund regulatory reform debate, both in the U.S. and globally. Below, we discuss recent developments here and abroad, and we talk about what's next for money markets and mutual funds."
McMillan says of the regulatory reform debate, "It is by no means over. I think for right now it sounds like the SEC Chairman Mary Schapiro is not interested in pursuing further money market fund reform herself. The other Commissioners, Luis Aguilar, Troy Parades, and Dan Gallagher put out statements, as you know, that talked about areas where the Commission could provide value and learning. Then there is the handoff that the Chairman seems to have invited to the FSOC [Financial Stability Oversight Council]. And then there is Europe. We were pleased that [the SEC] pulled the proposals that were so troublesome."
Our Shadow NAV says, "Below, we briefly take a look at taxable money market funds' "shadow" NAV information since November 2010, when the SEC first began mandating the disclosure of this data via Form N-MFP." We include a table with shadow NAV averages for the past 20 months, along with averages for the 90th and 10th percentiles.
The September MFI also contains monthly News, Indexes, top rankings and extensive performance tables. E-mail firstname.lastname@example.org to request the latest issue. Subscriptions to Money Fund Intelligence are $500 a year and include web access to archived issues and fund "profiles". Additional users are $250 and bulk pricing and "site licenses" are available. Crane Data's other products include: Money Fund Intelligence XLS ($1K/yr), MFI Daily ($2K/yr), Money Fund Wisdom ($4K/yr), MFI International ($2K/yr), and Brokerage Sweep Intelligence ($1K/yr).