When Moody’s Investors Service put the short-term credit rating of Bank of America under review for a downgrade back in February, that stirred up the water for tax-exempt money market funds.

In fact, Moody’s placed the credit ratings of many large financial institutions under review. But B of A provides the credit backing for a huge amount of short-term municipal securities — variable-rate demand notes and obligations — that money market funds have purchased.

Register or login for access to this item and much more

All Financial Planning 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