…and I was a tremor. 😀
But now there was something new to worry about.
In New York, The Reserve Fund – operator of a huge money market fund – announced it would be forced to do something unseen in more than a decade. Investors put their money in money markets specifically because they are so safe. You may not make much money, but you will not lose anything, or so goes conventional wisdom.
Reserve's Primary Fund, though, had so much invested in Lehman Brothers debt securities that every $1 share would now be worth just 97 cents.
The news broke as Richard Keeling, a research biologist, arrived home in University City, a suburb just outside St. Louis. Keeling had no money in The Reserve. But after watching the markets from the sidelines, his steadfast confidence is shaken for the first time. Keeling is 51 and his house is paid off, but the stock drop had already convinced him to shelve thoughts of an early retirement.
He logged on to his Vanguard account, and stared at the numbers: $10,000, parked in a money market account. What could go wrong?
Better not to wait for an answer.
With a few taps of the keyboard, Keeling moved the money out of the mutual fund and into his savings account. There, it would be safe. That, at least, he still believed.
Yup, that's me journalist Adam Geller is writing about & how did this unlikely event come to pass?
Through My Opera and this blog post.
So blogging with Opera really gets you noticed! :hat: :hat: :hat: :hat: