Vanguard money market funds to participate in Treasury Guarantee Program

[Zenlitened]

From the Vanguard website:

Vanguard's money market funds will apply for the U.S. Treasury Department's program to support the account values of money market mutual funds. Trustees of the funds decided to participate in the program because they believe it is a helpful step toward stabilizing the credit markets in general, which should benefit investors in all money market funds.

Link:
https://personal.vanguard.com/us/VanguardViewsArticlePublic?ArticleJSP=/freshness/News_and_Views/news_ALL_mmtreasguaruntee_10072008_ALL.jsp&src=NMC&returnLink=/freshness/News_and_Views/news_ALL_mmtreasguaruntee_10072008_ALL.jsp

[MannyGoldstein]

1. I Like Vanguard n/t

[spanone]

2. i' ve had money with vanguard for a long time...they are the best

[Marie26]

3. So is this a good thing or a bad thing?

I've got almost all my investments w/Vanguard & I really like them. But is this a sign that Vanguard has insufficient reserves, or just that they are trying to calm the jitters among investors?

[Zenlitened]

4. That's exactly the question the big funds are weighing:

How will their decision to participate be perceived by investors?

I don't know the answer to your question, but my guess is that they weighed the pro's and cons and decided there was more benefit to being in than out.

My hunch is that Vanguard is pretty solid but, again, I have no more insight or info than any other frazzled 401k watcher. :D

[Tierra_y_Libertad]

5. I moved my investments to Vanguard's MM about 4 months ago.

I certainly haven't regretted it while I've watched the "safe" balanced fund I was in drop like a rock.

[Zenlitened]

6. Update: Fidelity is participating, too.

http://personal.fidelity.com/products/funds/content/FidelityMutualFunds/articles/money-market-holdings.shtml.cvsr?refhp=c