Withdrawing federal insurance is part of a broader exit strategy from the government's emergency supports for the economy, expected to gather steam this year.
Last year, one of the original money-market funds, the Reserve Primary Fund, “broke the buck” because some of it had investments issued by a certain firm called Lehman Brothers.concern about a broader “run” by money-market depositors caused the Treasury to step in with an unusual guarantee
The guarantees come to a stop Friday, however.
The program insured as much as $3 trillion in money-market fund holdings, and earned about $1.2 billion in participation fees paid to the Treasury by money-market funds
US no longer insures your money-market fund, but that’s good news | csmonitor.com
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