The SEC has just voted to make changes to the regulatory landscape that money market mutual funds must abide by. We dedicated this week’s episode to talking about cash savings options and money market mutual funds. Join us as we dive into money market mutual funds, stress testing, swing pricing, the current state of the money market, and more.

[03.18] Money market mutual funds – Grant starts the conversation by defining money market mutual funds and how different they are from other mutual funds.

[08.34] How they work – Grant walks us through how money market mutual funds work.

[15.36] Stress testing - A bank stress test analyzes a bank's capital to see if it is capable of withstanding an economic or financial crisis.

[23.16] The SEC – Grant explains why the US Securities and Exchange Commission is looking to make more improvements to the money market fund landscape.

[25.00] Swing pricing – Grant defines swing pricing, and shares why it’s relevant.

[31.03] The cash – Grant talks about the difference between putting your money in a money market mutual fund and a local credit union savings account.

 

Resources

What Is an Advantage of Liquidity?

sapling.com/12011796/advantage-liquidity

 

U.S. Takes Third Shot at Shoring Up Money-Market Funds

wsj.com/articles/u-s-overhauls-money-market-fund-rules-in-latest-attempt-to-prevent-bailouts-2f0f2925

 

US SEC removes 'swing pricing' from money market fund overhaul plan, Bloomberg reports

reuters.com/markets/us/us-sec-removes-swing-pricing-money-market-fund-overhaul-plan-bloomberg-news-2023-07-12/