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Valorización de Fondos Mutuos Monetarios y su Impacto sobre Estabilidad Financiera

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  • Luis Antonio Ahumada
  • Nicolás Álvarez
  • Diego Saravia

Abstract

In the last ten years the Chilean mutual fund industry has multiplied its assets around fivefold. In particular, money market funds have become important players in the financial sector as investors in time deposits as well as intermediating funds of the corporate sector. Given the importance of this industry, the methodology for valuating money market funds could play an important role in the functioning of the money market. In this vein, this paper presents evidence about the revaluation of the money market funds in Chile in the last several years and presents a framework to analyze the possible effects of introducing objective threshold levels that trigger revaluations of a mutual fund.

Suggested Citation

  • Luis Antonio Ahumada & Nicolás Álvarez & Diego Saravia, 2011. "Valorización de Fondos Mutuos Monetarios y su Impacto sobre Estabilidad Financiera," Working Papers Central Bank of Chile 622, Central Bank of Chile.
    • Handle: RePEc:chb:bcchwp:622
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    File URL: https://www.bcentral.cl/documents/33528/133326/DTBC_622.pdf
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    References listed on IDEAS

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    1. Lyon, Andrew B, 1984. "Money Market Funds and Shareholder Dilution," Journal of Finance, American Finance Association, vol. 39(4), pages 1011-1020, September.
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