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Plan advisers give stable value another look

Ever since the SEC upgraded its rules for money-market funds last fall, retirement plan advisers have been giving stable value funds a second look.

By mandating that nongovernment money funds introduce special fees, redemption restrictions and floating net-asset values, the Securities and Exchange Commission has given advisers a reason to reassess the cash management options in company-sponsored plans.

Stable value funds, which seemingly have been been around forever but suddenly look new again, are a cash management option often compared with government money funds and the prime money funds that were subject to the rule changes last October.

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