This post completes our exploration of the definition of “derivatives transactions” in Rule 18f-4, which is relevant to business development companies, closed-end funds and open-end funds other than a money market fund (“Funds”). Our object is to generate a fairly comprehensive list of what is, is not, and may be a “derivatives transaction” by using our touchstone of a “future payment obligation” in combination with the literal definition in the rule and points made in earlier posts.
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TOBs
Another Update on Money Market Mutual Fund Liquidity Facility
By Stephen A. Keen on
Posted in Money Market Funds
Another day, another expansion of the Money Market Mutual Fund Liquidity Facility (the “Facility”) from the Federal Reserve Bank of Boston (“FRBB”). As before, I’ve updated my original post to conform to the current program. There is now a website with a full set of documents, so I’ve updated the link to that website. The…
Information on the Prime and Tax Exempt Money Market Fund Liquidity Facility (Updated 3/23)
By Stephen A. Keen on
Posted in Money Market Funds
The Federal Reserve Bank of Boston (“FRBB”) has established a new Money Market Mutual Fund Liquidity Facility. (I’m not sure what acronym to use here; “mmm … Fund Liquidity” would work. Let’s just call it the “Facility.”) The Facility opened on March 23, 2020. This post summarizes the significant terms of the Facility and suggests an idea for fund boards to consider.
Continue Reading Information on the Prime and Tax Exempt Money Market Fund Liquidity Facility (Updated 3/23)