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Administration October 8, 2008
Treasury Expands Money-Market Guarantee Program
October 8, 2008 (PLANSPONSOR.com) - The U.S.
Treasury Department on Wednesday announced a technical
correction that would permit additional money market funds to
participate in its Temporary Money Market Fund Guarantee
Program.
Reported by Rebecca Moore
Funds that have a policy of maintaining a stable net asset value or share price that is greater than $1.00 and had such policy on September 19, 2008, are now eligible to participate, provided the fund meets all of the original program requirements, the Treasury said in a press release. The enrollment deadline for funds that are now eligible as a result of this technical correction is 11:59 p.m. EST on October 10, 2008.
The agency noted that the technical correction does not extend the original deadline for funds that maintain a stable share price of $1.00 and that qualified under the program originally announced on September 29, 2008 (See Treasury Opens Guarantee Program for Money Funds ). The enrollment period for the original guarantee program closes on Wednesday at 11:59 p.m.
With the announcement on Wednesday that Fidelity Investments, Vanguard Group, and T. Rowe Price Group are joining the Treasury’s original guarantee program, all major fund families have joined (See Fidelity, Vanguard, T. Rowe Price to Use Treasury Guarantee ).