A Moody's Investors Service downgrade of securities issued by 38 closed-end mutual funds last week could ripple across financial markets, affecting a broad swath of municipal-bond and money-market-mutual-fund managers, analysts said.
Moody's on Thursday downgraded five of the six largest U.S. banks. As part of that move, it also cut the short-term ratings of about $5.4 billion in preferred securities issued by closed-end municipal-bond funds managed by BlackRock Inc. and Nuveen Asset Management LLC, moving their positions down a notch from the highest level.
Monday, June 25, 2012
Downgrade of Funds to Have Broad Effects
The Wall Street Journal reports:
