Part 1 Money Market Funds in the EU, 2 European Money Market Funds: Background and Industry Structure

2.01 In the financial press, commentary on the money market fund industry in Europe tends to focus on the similarities in the economic functioning of the US and European money market funds and related similarities in regulatory approaches.1 It is also commonly thought that during the pre-crisis decade the single currency reduced many of the economic and legal differences that existed between the individual Member States of the EU.2 At present, both views are far from reality. This chapter sets out a more realistic context for European money market funds, first, by...