ESMA proposes reforms to improve resilience of money market funds

On 16 February 2022, the European Securities and Markets Authority (ESMA) issued an Opinion containing proposed reforms to the regulatory framework for EU Money Market Funds (MMFs) under the Money Market Funds Regulation (MMFR). The proposals will improve the resilience of MMFs by addressing in particular liquidity issues and the threshold effects for constant net asset value (CNAV) MMFs.