FCA tightens UK money market fund liquidity tests for stable NAV funds
Minimum daily liquid asset requirements are unchanged, but stable NAV funds must hold 40% weekly liquid assets under a new resilience rule.
The Financial Conduct Authority today set out next steps for rewriting the UK regime for money market funds, confirming it will keep minimum daily liquid asset requirements unchanged while introducing a new resilience rule. The regulator expects stable net asset value (NAV) funds to hold 40% weekly liquid assets and variable NAV funds to hold 20%, as a supervisory expectation…
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