Public Debt CNAV: Difference between revisions

Latest revision as of 21:12, 7 July 2022

Money market funds.

A constant net asset value (CNAV) per share money market fund, substantially invested in public debt.

At least 99.5% of the portfolio must be invested in public debt securities, reverse repo secured with government securities, and cash.

Money Market Fund (MMF) reforms in 2019 replaced [prime] constant net asset value (CNAV) funds with two new categories:

- the Public Debt CNAV fund, and

- the low-volatility NAV (LNAV) fund.

@@ Line 1: / Line 1: @@
 ''Money market funds''.
-A constant net asset value (CNAV) per share money market fund, invested in public debt.
+A constant net asset value (CNAV) per share money market fund, substantially invested in public debt.
+At least 99.5% of the portfolio must be invested in public debt securities, reverse repo secured with government securities, and cash.
-<span style="color:#4B0082">'''''Money market fund (MMF) reforms'''''</span>
-:"Full implementation of MMF reforms won't take place until February 2019, but treasurers need to start preparing for the replacement of [prime] constant net asset value (CNAV) funds with two new categories:
+Money Market Fund (MMF) reforms in 2019 replaced [prime] constant net asset value (CNAV) funds with two new categories:
 : - the Public Debt CNAV fund, and
 : - the low-volatility NAV (LNAV) fund.
-:According to research from rating agency Moody's, LVNAV MMFs are likely to attract most of the funds currently invested in prime CNAV MMFs."
-:''The Treasurer magazine, June 2018, p21 - Sarah Rundell, freelance journalist specialising in treasury and investment issues.''
@@ Line 23: / Line 18: @@
 * [[Low-volatility NAV]]
 * [[Money market fund]]
+* [[Money Market Funds Regulation]]
 * [[Money market fund reform: a light at the end of the tunnel?]]
 * [[Net asset value]]
 * [[Prime]]
+* [[Public]]
+* [[Public debt]]
+* [[Reverse repo]]
+* [[Security]]
 * [[Variable net asset value]]
 * [[Volatility]]