Article: Focus: Money-market funds.

Byline: Stephen Wilmot

As governments stand by their banks, sovereign risk has replaced individual corporate risk, shifting the goal posts of money-market investing

Money-market funds have been at the very eye of the financial storm. Many industry commentators date the global crisis back to August 9 2007, when BNP Paribas suspended valuation and trading on three of its liquidity funds. This was the day the fixed interest world went public with its health problems.

Going public did little to ease the pain, however, and victims continue to emerge even now. Standard Life announced last month it would spend approximately GBP100m compensating ...

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