The International Organization of Securities Commission published a final report on Policy Recommendations for Money Market Funds, which sets out 15 recommendations as the basis for common standards for the regulation and management of MMFs across jurisdictions, supplementing existing frameworks. The recommendations are grouped under the following headings:
- General recommendations.
- Liquidity management.
- MMFs that offer a stable net asset value.
- Use of ratings.
- Disclosure to investors.
- Practices relating to repos.
As the size, features and systemic relevance of MMFs differs significantly between countries, IOSCO acknowledges that the implementation of the recommendations may vary between countries.
Appendix 2 of the report sets out a feedback statement on the responses to the April 2012 consultation, including a list of respondents. IOSCO's work on MMFs is part of the G20 and Financial Stability Board work to strengthen the oversight and regulation of the shadow banking system. UCITS VI is considering MMF issues and G20 are likely to consider these IOSCO recommendations in November.