WSJ's "SEC Continues To Monitor Money-Market Funds For Risk", says, "While the government has dropped its special backing for money-market funds, the Securities and Exchange Commission is obliging these funds to continue to report holdings and valuation information in certain circumstances." (See yesterday's Crane Data News.) The Journal adds, "Under the rule, announced in a release on Friday and effective for one year, money-market funds must report to the SEC information similar to that they gave to both the Treasury Department and the SEC during the last year under a Treasury guarantee program. That program, put in place last autumn to help stabilize the funds, expired Friday." It adds, "Money-market funds experienced outflows of $6.6 billion on Friday, according to Peter Crane, president of Crane Data LLC.... [Recent] outflows are large, said Crane, but aren't out of line in a week when quarterly corporate tax payments and individual quarterly estimated tax payments are due." "It appears that outflows were primarily tax-related, and that outflows related to the expiration of the Treasury guarantee are minimal," Crane said. See also, WSJ's "State Regulator Opposes SEC Plan for Reserve Primary Fund Assets", which says, "The top securities regulator in Massachusetts is opposing a Securities and Exchange Commission proposal for distributing the remaining assets in the Reserve Primary Fund, the money-market fund that struggled with investment losses and panicked selling after Lehman Brothers' collapse a year ago."
