​ GE Enhanced Cash Trust Redeeming Holdings at 96 Cents Says Barron'​s. Barron'​s put out the article, "​Mortgage Woes Damage a GE Bond Fund" late Wednesday, saying that GE Asset Management'​s $​5.​6 billion Enhanced Cash Trust is offering investors to "​redeem their holdings at 96 cents on the dollar". Reuters initally incorrectly reported that this was a money market fund, but has since corrected its story. This is not a "​money market fund", and no "​2a-​7" money funds have broken below $​1.​00 a share. GE, though, becomes the first "​enhanced cash" fund to publicly "​break the buck", though of course these funds never pledged to maintain stable NAVs. Crane Data estimates that these "​3c-​7" private placement "​cash plus" and "​enhanced cash" fund assets total $​120 billion, down from $​150 billion just weeks ago. GE says its other cash plus and money market funds are unaffected by the move. Federated recently reimbursed investors $​4.​9 million for losses in its enhanced fund and exited the sector, and Columbia'​s set aside $​300 million to protect its mammoth Strategic Cash portfolio. See also Bloomberg'​s "​GE Bond Fund Investors Cash Out After Losses From Subprime".

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