New York Fed: Redemption Fees: A Shield Against Fund Runs?
August 02, 2025
August 02, 2025
NEW YORK, Aug. 2 (TNSLrpt) -- The Federal Reserve Bank of New York has issued a staff report titled 'Can Redemption Fees Prevent Runs on Funds?', authored by Xuesong Huang and Todd Keister. The report, identified as No. 1160, was issued in August 2025. This document explores the effectiveness of imposing fees on investors who redeem shares, particularly in the context of money market mutual funds (MMFs) and related financial arrangements.
The report highlights a challenge . . .
The report highlights a challenge . . .