Speech by SEC Commissioner:
Statement at Open Meeting Regarding Money Market Fund Reform
Commissioner Troy A. Paredes
U.S. Securities and Exchange Commission
January 27, 2010
Thank you, Chairman Schapiro.
The rule amendments before us mark a substantial change in the regulation of money market funds, and I support them. I appreciate the effort that went in to fashioning a set of reforms that seeks to balance a host of considerations that inform the proper oversight of money market funds. In particular, I am pleased by the progress that was made throughout the rulemaking on two fronts. First, the final rules allow ongoing flexibility for money market funds to invest in Tier 2 securities, subject to certain constraints; and second, the amendments accommodate a reasonable amount of delay at the end of each month before the market value of a fund's portfolio is publicly disclosed.
I would like to thank the Chairman and my fellow Commissioners for their efforts throughout the process. I also would like to join my colleagues in thanking the staff from the Division of Investment Management, the Division of Risk, Strategy, and Financial Innovation, and the Office of the General Counsel for their hard work and commitment.