@grandmajsilver /wp.me/ Should money Markets be Safe?

@grandmajsilver /wp.me/

New York Times 6/29/12 Floyd Norris “Funds and allies defend the buck”

  • Did you know that money market funds were not insured and could return less then a Dollar if the funds or banks were stressed?
  • Money Market funds have 2.5 Trillion Dollars in assets.  These assets may not be liquid in a crisis and the SEC proposes to make them safe.
  • The SEC has stiff opposition from the Chamber of Commerce and the Funds.  All the SEC wants is regulations in place similar to the FDIC.
  • What do you think?  Should there be new safeguards added to money market savings, too?
  • 41.7% of professionals are worried about a second banking crisis
  • Too big to fail, too big to manage and too big too regulate are equally pressing questions.

Let’s start to question, is de-regulation working for us?  Flights to safety should be safe?

 

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