FYI: (This is a folow-up article)
The U.S. government’s attempt to alleviate the short supply of T-bills is about to get a little harder.
After years in the making, a post-crisis rule to prevent a run on the money-market industry will finally take effect this October. It will force funds that oversee about $600 billion to abandon a fixed $1-a-share price and float their net asset value. But because businesses and state governments use the funds like bank accounts, the prospect of prices falling below a buck is causing a big shift into money-market funds that buy only government debt.
Regards,
Ted
http://wealthmanagement.com/print/fixed-income/400-billion-influx-squeezes-us-bond-market-s-safest-asset
