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Byline: Nuntawun Polkuamdee
Jul. 7--The Securities and Exchange Commission yesterday imposed new restrictions on mutual and provident funds investing in short-term debt.
The new rules reflect regulator concerns over possible growing credit risk in the money market, particularly as short-term debt has been mostly unregulated to date. Late last month, Picnic Corp, a cooking gas company already under a regulatory cloud for accounting fraud, defaulted on its short-term bills, affecting several local asset-management companies.
Thirachai Phuvanat-naranubala, SEC secretary-general, said starting Jan 1, mutual funds and provident funds can only invest ...