FSCO just posted a "Comment from Former Chairmen, Commissioners, and Senior Staff of the U.S. Securities and Exchange Commission", which says, "The undersigned are former Chairmen, Commissioners, and Senior Staff of the U.S. Securities and Exchange Commission (SEC or the Agency), spanning five decades of SEC service in both Democratic and Republican Administrations. `We write to urge you—individually and collectively as members of the Financial Stability Oversight Council (FSOC or the Council) -- to respect the jurisdiction, independence, subject-matter expertise, and regulatory processes of independent agencies such as the SEC. Although the timing of this letter is triggered by the Council's proposed recommendations to the SEC regarding regulation of money market mutual funds, this letter is not intended to, and does not, express a position on the substance of the specific proposals recommended by FSOC, or on any action taken, or refrained from being taken, by the SEC. The undersigned have varying views on certain substantive aspects of the regulation of money market mutual funds, but are of a single, adverse view of the process that FSOC has employed with respect to the SEC's regulation of money market mutual funds.... The SEC has had exclusive jurisdiction over securities regulation since 1934, and we can attest to the fact that significant decisions by the Commission receive thoughtful, objective consideration, and that the SEC possesses the specific expertise and historical perspective necessary to resolve the complex issues that arise relating to the securities markets. The SEC's oversight of money market mutual funds is no exception. In August 2012, a bipartisan majority of the Commission determined there was insufficient data at that time on which to base approval of further changes to the Agency's long-standing regulatory regime of money market mutual funds, a regime that was strengthened by additional SEC rules recently, in 2010. The statements of individual Commissioners -- that they were not ready to act without further data -- demonstrated thoughtful consideration of a serious issue, and a desire to obtain additional data to support ultimate conclusions, something the SEC is required to do by statute.... We urge the Council to defer to the SEC, which is fully equipped with the expertise and data necessary to exercise its role as the primary regulator of money market mutual funds."

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