SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Pastimes : Clown-Free Zone... sorry, no clowns allowed -- Ignore unavailable to you. Want to Upgrade?

To: XBrit who wrote (27494)10/12/2000 2:23:29 PM
From: GraceZ  Read Replies (4) | Respond to of 436258
 
I can easily imagine that a money market fund invested in mortgage-backed or credit-card-backed paper could fall below $1

If you can easily imagine that then you can easily imagine that a widespread failure of the major money market funds to maintain $1 share value would cause a run on these vehicles. Do you really think the public is smart enough to know the difference between a MM backed by short term commercial paper and one that is backed by treasuries? In such a panic all MM funds would be hit. Remember the S&L crisis? Even sound institutions were hit with the ensuing panic.



To: XBrit who wrote (27494)10/12/2000 6:10:45 PM
From: RocketMan  Read Replies (2) | Respond to of 436258
 
I can easily imagine that a money market fund invested in mortgage-backed or credit-card-backed paper could fall below $1 because of defaults in the underlying loans.

Man, this thread's getting so bearish, it might indicate a bottom after all. Don't you think Easy Al would trip over himself infusing bucks into the economy if we came anywhere close to this scenario? What a tradeable rally that would be!


HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News