STATISTICS AS OF 12/31/15
- Assets under
Over $85.4 billion
- Over 240 institutional clients nationwide
- Q4 GDP Growth Slows, Labor Market Gains Hold
- U.S. Growth Enough for Fed to “Liftoff” with First Hike in Nearly a Decade
- Fed Hike Pushes Rates Higher, Most Bonds Fall Modestly
- Spread Sectors Mixed, Investors Seek Haven in Higher Quality
Money Market Reform Spurs Renewed Interest in Stable Value
MONEY MARKET FUND REFORM has altered the capital preservation landscape and has led to a renewed interest in stable value from defined contribution plan sponsors who utilize money market mutual funds (or “money market funds”). In this issue of Stable Value Analyst Insights, we provide a summary of the key amendments adopted by the U.S. Securities and Exchange Commission (SEC) to the money market fund rules. We also highlight key differences between money market funds and stable value funds. Lastly, we revisit the compelling case for stable value as a defined contribution capital preservation option. The SEC amendments to the money market fund rules did not directly impact stable value. However, we believe the impact of reform on money market funds further strengthens the case for stable value as an optimal principal preservation choice compared to money market funds.
Stable Value Masterclass Video on Asset TV, October 2015
Karl Tourville, Founding Managing Partner of Galliard Capital Management, along with two other industry experts, Warren Howe of MetLife and Jim King of Prudential, participated on an Asset TV Masterclass panel discussing stable value. Watch the video to learn more about the stable value asset class, how stable value performs with respect to rising interest rates, and what plan sponsors can expect from stable value in the current market environment.
Click below to watch the video on Asset.TV