The Securities and Exchange Commission on Wednesday unanimously agreed to propose amendments to its Rule 2a-7 that would remove all credit rating references from the rule, which requires money market funds to invest in high-quality and very liquid short-term securities.

The proposal, on which the SEC is seeking public comments through April 25, would implement a directive lawmakers included in the Dodd-Frank Wall Street Reform and Consumer Protection Act after criticizing the credit agencies for failing to adjust their ratings to forewarn of ­Enron’s collapse and the subprime mortgage ­meltdown.

Register or login for access to this item and much more

All On Wall Street content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access