Asset-Backed Commercial Paper Money Market Mutual Fund Liquidity Facility (AMLF)
Launched by the Federal Reserve on September 2008, this program was designed to restore confidence to the market for asset-backed commercial paper. Money-market funds, fearing they couldn't sell these securities to meet redemptions, had stopped buying asset-backed commercial paper. Under AMLF, the Fed loaned money to banks to buy up all of the asset-backed commercial paper that a money-market fund wanted to sell.
Nearby TermsAsset/Liability Committee (ALCO) Asset/liability management Asset-Backed Commercial Paper Money Market Mutual Fund Liquidity Facility (AMLF) Asset-backed security Asset-based financing
Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University