MF Leaders Aim to End Jam Over Rules
The New York Times writes "Mutual Fund Leaders Aim to End Jam Over Rules". The article says, "Worried about a regulatory crackdown, mutual fund executives are pushing for limited restrictions on a controversial type of fund in an effort to end a bitter dispute between the government and the financial industry. Representatives from BlackRock, Fidelity, Vanguard and other large asset managers met on Friday with the head of the Securities and Exchange Commission and other regulators to present a plan intended to ward off runs on money market funds, low-risk investment vehicles that faced crippling withdrawals by investors during the financial crisis.... [T]he industry has come together in the last month around a plan proposed by the giant money manager BlackRock, under which the funds would charge a 1 percent fee if investors wanted to withdraw their money during times of financial stress.... It was unclear if Friday's meetings would lead to a compromise. John Nester, a spokesman for the S.E.C., said that while "there were many questions asked" in the meetings, "neither the chairman nor the staff gave any indication of their views on the presentation."" See also, FT's "Future of money market funds questioned".
