Federated Launched "Money Market Matters" Site, which is "designed to provide investors and clients with current information about Federated's money market funds as well as items of interest that relate to developments in the industry." The site also features a new "white paper" entitled "The Truth About Money Funds". It says, "As Congress prepares to consider proposals to reform the financial regulatory structure, the regulation of money market mutual funds will likely be a topic of discussion. Although money funds play a vital role in the financial markets, their activities and operations are not well understood and questions may arise as to how they should be regulated. This paper provides information for lawmakers and others on money funds, their role in the financial markets, and the regulatory regime that governs them. As described more fully herein, money funds are short-term investment vehicles that contribute efficiency, liquidity, and safety to the financial markets. They are highly regulated under existing law and have a proven track record as safe investments. Some commentators have mistakenly suggested that money funds function like banks and should be regulated as such. This paper shows that such a view fundamentally misconceives the nature of money funds and would result in inappropriate regulation of money funds to the detriment of U.S. financial markets." See also: Investment News' "Industry group wants money fund safeguards", ignites' "ICI's Money Fund Proposal Presents Few Hurdles", and "Fitch Affirms Marshall Government Money Market Fund at 'AAA/V1+'".
