Guess who was one of the biggest investors in toxic SIVs and CDOs?
Money market funds.
Your money is not safe in these safest of safe funds. Get it out. Now. If you need to park cash, get it into FDIC insured accounts or US t-bills that even though the dollar will devalue, unlike money market funds you won't lose your principle.
Do it today. You'll be glad you did.
GE Money Fund Breaks the Buck; Others Scramble to Cover Losses
A short-term institutional bond managed by General Electric Asset Management suffered such extreme losses from mortgage and asset-backed securities that it has offered investors the option of redeeming their holdings at 96 cents on the dollar.
Bank of America Corp. (BAC), and others, are reportedly propping up their money-market funds in a frantic effort to cushion against possible losses on debt issued by structured investment funds.