Subject: Money Market Fund Response
From: Daniel Nagy, CFA

December 18, 2012

Re: money market funds. We could require money market funds to have two classes of shares within each fund. Class A shares have a floating NAV. Class B shares have a fixed 1.0 value. Class A shares take all risk for loss. Class A shares get a higher ruturn than the class B shares (actual yield advantage set by market forces). There are enough class A shares to absorb potential losses (e.g. at least 25% of the fund are class A shares). To further limit risk to the samll investor, Class A shares are offered only to institutional and/or wealthy sophisticated investors.
Hope this helps.
Daniel Nagy, CFA