Enhanced cash managers say the failure of some funds that invested in relatively risky structured credit products has unjustifiably tainted the market segment.
"The negativity came out of misinformation from the media and a lack of education on the part of investors," says Bruce Bent, vice-chairman and president of New York-based investment company The Reserve, which runs an enhanced cash portfolio.
Alarm bells ring
In August, US cash management company Sentinel Management Group froze client withdrawals, stating that it could not meet redemptions without selling securities at...
