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Crane 100 Money Fund Index
Reuters writes "Federated CEO says would support some money fund reform"
. The article says, "Federated Investors Inc. Chief Executive Christopher Donahue, who has fought increased regulation of money market funds, said on Friday he would support a limited reform proposal
. Donahue, whose Pittsburgh-
based firm is one of the largest sponsors of money funds, said in an interview that he would back allowing funds to limit customer withdrawals in times of stress, a practice the industry calls "voluntary gates
." Reuters quotes Donahue, "That would work.... It would be enhancing the resilience of the funds
." The piece adds, "
Forcing funds to adopt other reforms such as a floating net asset value would still be unacceptable, however, he said. Donahue's comments come as federal regulators this week renewed their efforts to strengthen regulation of the $2.5 trillion money fund industry following the financial crisis, when dozens came under stress amid rapid withdrawals
." See also, WSJ's "Money Funds' $1 Share Price At Risk"