Atherton, California (PRWEB) September 18, 2012
TruthMarket, a division of Truth Seal Corp., today announced that a registered member launched a campaign disputing S.E.C. assertions that money market funds are more risky than bank deposits. The first person to come up with verifiable proof of the S.E.C. assertion can win $5,000.
The TruthMarket campaign’s position is that the nation's financial services sector needs informed debate about the true risks of money market funds relative to banks. Money market funds are no longer eligible for Government-backed insurance. Banks, however, continue to benefit from FDIC insurance, paid for by the bank customers and further subsidized by Government support. Without this government subsidy, the "native" risk of money leveraged and managed by banks would exceed that of unleveraged money market funds that face daily competitive pricing pressures.
To win the $5,000 bounty, a campaign challenger must provide verifiable evidence that since the year 2000 the frequency of bank failures has been reliably lower than the frequency of money market fund failures. For definitional clarity, 'failures' of banks must include dissolutions, regulatory sponsored consolidations, and instances of exigent and excessive asset liquidations. In the case of money market funds, 'failures' must include instances where they broke the buck or would have except for fund family intervention.
TruthMarket is a division of Truth Seal, a California Corporation. TruthMarket is designed to be a popular online platform that enables everyone to campaign for truth in public dialogue. The primary objective is to increase truth and trust throughout the public information space – online and offline – by publicly exposing false claims and highlighting true claims. TruthMarket’s ultimate goal is to predispose all public dialogue toward truth telling
Marketplace for Truth Telling, TruthMarket and TruthSeal are trademarks of Truth Seal Corp.