Moody's Affirms AAA/MR1 Rating on Reserve Enhanced Cash Strategies. The Reserve, which recently broke $73 billion in total money fund and "cash-plus" assets, announced that Moody's Investors Service has reaffirmed its AAA/MR1 rating on Reserve Enhanced Cash Strategies Portfolio LLC, a non-2a-7 fund with a stable $1.00 share price. The fund "has been trading at $1.00 and we expect it to continue to trade at $1.00," says Reserve CIO Patrick Ledford. Enhanced cash, cash plus, but particularly European-domiciled "LIBOR Plus" funds, have been under some duress, but funds hewing closely to money fund regulations appear to be fine, as reflected in the recent affirmation of Reserve's offering. For more enhanced cash coverage, see: "Turbulent times for cash plus funds as Libor goes 'haywire'", "European Enhanced Cash Funds and the Current Liquidity Stress", and the current (Sept.) Money Fund Intelligence for more coverage.
