NACUBO Urges Preservation of Rules for Money Market Funds
October 7, 2009
In response to a request for comments issued by the Securities and Exchange Commission (SEC), NACUBO urged the preservation of special rules that allow money market funds to maintain a stable net asset value.
The SEC published a notice of proposed rulemaking (NPRM) in the July 8th Federal Register to amend the rules governing money market funds. In addition to making a number of proposed rule changes, the SEC requested comments on the possibility of eliminating the ability of money market funds to use the amortized cost method of valuation. The use of this valuation method allows money market funds to maintain a stable $1.00 net asset value (NAV). The Commission's notice acknowledged that the stable NAV has been "one of the trademark features of money market funds."
In its comments, NACUBO noted the various ways that money market funds fit into the overall financial management of colleges and universities, as well as serving as a supply of capital for investment in the debt issued by institutions of higher education. NACUBO urged the SEC to tailor any changes to the rules regarding money market funds to the specific issues of concern rather than rewriting the place they play in our financial markets.
- Financial Responsibility Scores Released for FY13
- IRS Publishes Guidance on "Cadillac" Health Coverage
- 2014 NACUBO-Commonfund Study of Endowments Now Available Online
- ON-DEMAND: How to Build, Develop, and Support a Compliance Program at Your Institution
- ON-DEMAND: Strategic Tuition Assessment and Tuition Restructuring
- ON-DEMAND: Are Shared Services Right for Your Organization – The KU Journey
- ON-DEMAND: VIRTUAL: 2014 Annual Meeting
- ON-DEMAND: VIRTUAL: Student Financial Services Conference
- ON-DEMAND: VIRTUAL: Higher Education Accounting Forum
- A Guide to College and University Budgeting: Foundations for Institutional Effectiveness, 4th ed. - by Larry Goldstein
- NACUBO's Guide to Unitizing Investment Pools - by Mary S. Wheeler
- Managing and Collecting Student Accounts and Loans - by David R. Glezerman and Dennis DeSantis