Pensions and Investments writes "Money market funds hold firm; more hurdles loom". The article says, "The U.S. debt ceiling crisis, S&P's unprecedented downgrade of America's AAA credit rating and eurozone debt woes have delivered a triple-whammy to money market strategies, but this time, the sector is proving resilient." P&I quotes Martyn Simpson of Mercer LLC, "For money market strategies, it's the biggest test since Lehman Brothers. So far, they're holding up well." The piece adds, "The low interest-rate environment already has made it very challenging for fund managers to operate profitably. In addition, the continuing regulatory debate over the structure of the money market sector is causing a lot of uncertainty. On top of that, there are far fewer investment options, particularly as recent market volatility has forced cash fund managers to shorten the duration of portfolios, which already are under more restrictive investment guidelines."

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