The March issue of Crane Data'​s Money Fund Intelligence newsletter goes out this morning (​along with our MFI XLS, Crane Index and other monthly performance ranking products). The latest issue features the articles: "Final MMF Reforms Out: Funds Await Next Steps," "Looking for a Legg Up: The New Western Asset," and "Quotes on the Business of Money Market Funds." The monthly "News" also discusses the Crane Money Fund Indexes hitting new record lows, and asset outflows continuing from money funds. Money Fund Intelligence also features performance rankings and statistics on over 1,​300 money market mutual funds.

As we'​ve been discussing, The SEC released the full text of its final '​Money Market Fund Reform' rules last week, and the 220-​page text contained no surprises. MFI recaps the new rules and discusses what might happen next. Visit the SEC'​s Final Rules page to see the whole text, and note that a new version, "Rule 2a-​7 Amendments Adopted by SEC in February 2010 Marked to Show Changes from Previous Rule 2a-​7" has been posted. (​Watch for the more condensed Federal Register version to appear in coming days.)

This month, Money Fund Intelligence revisits Western Asset Management, the ninth largest money fund manager worldwide and the 10th largest in the U.​S. We interview money fund veteran and Lead Liquidity Portfolio Manager Kevin Kennedy, and Head of New York Operations & Client Service/​Marketing Michael Van Raaphorst. Look for excerpts from our "​profile" in coming days, or e-​mail info@​cranedata.​us for the latest issue.

Our Crane Money Fund Indexes continue to set record lows, though help from the ultra-​low yields may soon be on the way in the form of slightly higher Treasury and repo rates. The Crane 100 Index, an average of the 100 largest taxable money funds, had a record-​low 7-​day yield of 0.​04% as of Feb. 28. The Crane 100 had a 30-​day yield of 0.​05% as of month-​end, and a 1-​year return of 0.​19% through 2/​28/​10. Our broader Crane Money Fund Average yielded a mere 0.​02% (​7-​day annualized) and 0.​03% (​30-​day), respectively, at month-​end.

The February 2010 issue of Crane Data'​s flagship Money Fund Intelligence newsletter, which goes out to subscribers this morning, features the stories: "SEC Passes New Money Market Fund Reforms," which discusses the recently-​passed Amendments to Rule 2a-​7; "Navigating New Rules: Q&​A w/​Stephen Keen," an interview with the veteran money fund attorney and Partner of Reed Smith LLP; and "Will Rising Rates Bring Outflows to Inst MMFs?," a look at how institutional assets have fared in past periods of Fed funds rate hikes. We excerpt several quotes below. Note that we'​re expecting the SEC'​s Final Money Market Reform rules to be posted next week, or even later today, so stay tuned!

Our lead story says, "​Last week, the U.​S. Securities & Exchange Commission approved the outline of the first changes to money market mutual fund regulations since 1997, tightening Rule 2a-​7'​s quality, maturity and liquidity standards, and adding a new liquidity mandate. The Commission'​s summary release, entitled, "SEC Approves Money Market Fund Reforms to Better Protect Investors," says, "​The Securities and Exchange Commission today adopted new rules designed to significantly strengthen the regulatory requirements governing money market funds and better protect investors."

Stephen Keen says on money fund regulations in MFI, "The rule is almost always -- you have to do what you decide is appropriate for a stable value fund. The rule isn'​t that can run your securities at an adequate maturity of 90 days. It is that you run them at a adequate maturity consistent with the stable net asset value, not to exceed 90 days.... Now you need to operate with adequate liquidity to meet your expected redemptions."

Finally, our study of asset flows during periods of falling, flat and rising rates says, "​We decided to look back at the last 5, 10 and 20 years to see just how much institutional assets appear to be impacted by rate moves. The answer appears to be that rate cuts have helped money funds tremendously, but flat rates, and rate hikes, have merely slowed or stalled asset increases."

Money Fund Intelligence features news, info, and performance on over 1,​300 money market mutual funds. Statistics include: assets, WAM, expense ratio, 7-​day yield, 30-​day yield, 1-​month return, 3-​mo, YTD, 1-​year, 3-​yr, 5-​yr, 10-​yr, and since inception returns, and gross yields. MFI also contains tables of the top-​yielding and largest money funds and our benchmark `​Crane Money Fund Indexes. To request a sample of the latest issue, e-​mail info@​cranedata.​us.

The December issue of Crane Data'​s flagship Money Fund Intelligence newsletter predicts that 2009'​s sharp money fund asset outflows will moderate and come to an end in 2010, and MFI also discusses recent regulatory issues with JPMorgan Asset Management'​s Robert Deutsch. The 30-​page monthly PDF features the articles, "MF Assets Down $​500B, But Are Declines Ending?," "Defending the $​1 NAV: JPMorgan'​s Bob Deutsch," and "BlackRock, BGI Merger Shrinks MF Mgr Universe." It also features news, fund performance, and more, and shows the Crane Money Fund Indexes continuing to hit record low yield levels.

MFI writes, "Money fund assets are currently at $​3.​319 trillion according the Investment Company Institute'​s weekly totals. They have declined by 13.​3% year-​to-​date, likely making 2009 funds' second worst year in history after 1983'​s 18.​4% decline. But the latest weekly and monthly statistics appear to show the outflows slowing."

Deutsch discusses client concerns, regulatory issues, ultra-​low yields, and more in our monthly Q&​A. He tells Crane, "​This financial crisis has challenged every investor and manager of money funds. It was the most challenging environment we had ever seen, and there are still the unresolved regulatory issues to be addressed. In addition, the challenges for our clients continue."

In November, our Crane Indexes continued drifting lower or remained flat. The Crane 100 saw its 7-​day and 30-​day yields (​as of Nov. 30) fall to 0.​07% and 0.​08%, respectively, while the broader Crane Money Fund Average fell to 0.​04% on both its 7-​day and 30-​day yields. The Crane Institutional MF Index dipped to 0.​06% (​7-​day annualized) and 0.​07% (​30-​day), while the Crane Retail MF Index remained at a rock-​bottom 0.​02%. The Crane Tax Exempt MF Index remained at 0.​05% for its 7-​day and 30-​day yield average.

Assets tracked by Crane declined by $​49 billion in November, a slower rate of decrease than October'​s $​65 billion or September'​s sharp $​115 billion. To request the full issue of Money Fund Intelligence or our Crane Index benchmarking excerpt, e-​mail Pete Crane. Or look for more excerpts from our articles in coming weeks.

Approximately 150 money market mutual fund managers, marketers, suppliers, servicers, investors, and regulators descended on Providence, Rhode Island this weekend for the inaugural Crane'​s Money Fund Symposium at the Renaissance Hotel, which began Sunday afternoon. Speakers, sponsors and attendees will undoubtedly spend much of their time discussing the SEC'​s Money Market Fund Reform proposals, as well as a host of challenges, including ultra-​low interest rates, potential consolidation, and competition from bank and other fixed-​income products. But while participants have concerns, money fund managers will also just be happy to be there, still very much alive at $​3.​6 trillion in assets, following what was no doubt their most traumatic year in history. "Best of Times, Worst of Times" was an understatement for money funds in 2008.

Sunday'​s kickoff featured "Welcome to Money Fund Symposium" comments from host Peter Crane, then a series of sessions, including: "Washington & Money Market Funds" with Federated Investors' Eugene Maloney; "What'​s Driving Corporate Investors?" with Treasury Strategies' Tony Carfang; "ICI Market Update & Money Fund Issues" with ICI'​s Brian Reid and Invesco AIM'​s Bill Hoppe; and "The Future of Money Funds Discussion" with Fidelity Investments' Michael Morin, Standard & Poor'​s Peter Rizzo, and Cachematrix'​s George Hagerman.

Monday'​s agenda includes: "State of the Money Fund Industry" by Peter Crane; "​Money Fund Managers' Current Strategies" with Federated'​s Debbie Cunningham, SSgA'​s Jeff St. Peters, and Wells Fargo Advantage Funds'​s Dave Sylvester; "Talking Treasury & Government Funds" with Western Asset'​s Kevin Kennedy and UBS'​s Rob Sabatino; "Municipal Money Market Update" with Neuberger & Berman'​s Kristian Lind; "Economic Update from SVB Asset Management'​s Joe Morgan; "Money Market Securities: What'​s New?" with JPMorgan Securities' Alex Roever and Bank of America Merrill Lynch'​s Mike Cloherty; "Institutional Investor Perspectives" with Capital Advisors Lance Pan and MWAA'​s Nancy Edwards; "Offshore & European Money Market Update from IMMFA'​s Travis Barker; and, "Revamping AAA Money Fund Ratings with Fitch Ratings' Viktoria Baklanova, Moody'​s Henry Shilling, and Standard & Poor'​s Joel Friedman.

Tuesday'​s Symposium sessions include: "Update on SEC'​s MMF Reform Proposals" featuring the SEC'​s Bob Plaze and Reed Smith'​s Stephen Keen; "Accounting Concerns & Mark-​to-​Market" by PriceWaterhouse Coopers' Tony Evangelista; "Grow or Die: Distribution Strategies by DB Advisors' Kevin Bannerton and Traibar Associates' Mark Steinberg; and "New Developments in Online MM Portals" with Citibank Online Investments' John Carter and Matrix MM Portal'​s Michael Rice.

Crane Data would like to thank all of our Money Fund Symposium sponsors and exhibitors, including: Bank of America Merrill Lynch, Federated Investors, Fidelity Investments, Cachematrix, J.​M. Lummis, Wells Fargo Advantage Funds, Standard & Poor'​s, Capital Advisors Group, Fitch Ratings, Matrix Financial Solutions, Moody'​s Investors Service, Invesco AIM, Western Asset Management, Bank of Ireland, Bank of New York Mellon, and Citi Online Investments.

Crane'​s Money Fund Symposium was created as an affordable (​registration is $​500) new venue for exchanging ideas, networking, and learning about the latest investment strategies, business tactics, and news impacting money funds. To see the agenda click here. Next year'​s event is `​tentatively scheduled for July 25-​28, 2010, in Boston. Check back for updates from the conference in coming days, or see you in Providence!