BlackRock Inc., taking a new position in the debate over money market mutual fund reform, said the $2.6 trillion industry would survive without its stable $1 share price if a reform plan being drafted by regulators included key additions.
JPMorgan Chase & Co . and a U.S. unit of French bank Natixis SA are offering money-market mutual funds aimed at wooing back customers spooked by the financial crisis into moving their money to federally insured deposits.
U.S. money market mutual funds, haunted by the 2008 collapse of a single fund and the ensuing panic, are wrestling with regulators over ways to safeguard the $2.65 trillion business without killing it.
JPMorgan Chase & Co., squeezed along with other money-market fund providers by low interest rates, has become the first to prepare investors for negative yields from funds that maintain a constant net-asset value.