Bruce Bent II, an investor and finance executive that is widely known for his innovative solutions. His is known for inventing the first money market fund in 1971. The money market fund was considered to be a significant innovation in financial history, and currently, it is considered as one of the hottest investment options for safe and better returns. These are open-ended mutual funds which are investing in short-term debt securities including commercial paper and US Treasury bills. It is controlled by Securities and Exchange Commission or SEC under the Investment Company Act passed in 1940. These funds are considered to have limited risks of market, liquidity, and credits.
Under the act, the funds are allowed to buy highest rated debt securities that usually matures in 13 months. Interestingly, the portfolio should have a weighted average maturity for 60 days or less, and additionally, it is not permitted to invest more than five percent to any particular issuer, unless they are repurchase agreements and government securities. The money market funds usually keep a stable value at $1 per share, and it is allowed to pay dividends to investors. It also invests in short-term bonds, repurchase agreements, and other money funds. The history of money market funds started when Bent and Brown established the Reserve Fund. In the later years, many money market funds floated in the market considering the popularity of the investment product.
Bruce Bent II (read more on Ideamensch) has many years of broad expertise in the financial market and designing various financial products. He is considered to be a pioneer in retirement and cash management services. His exploration in the financial servicing and supporting technologies, helped him to register multiple patents under his name. Currently, he is the President and Vice Chairman of Double Rock Corporation, where he takes care of the financial services offered by the firm.
Bent also founded B2 Consulting in 2013 to provide expert guidance to various financial companies in consumer financing, health care, digital currency, financial technology, and more. He completed his Bachelor of Science in Philosophy from Northeastern University. Bruce Bent II is a member of Young Presidents’ Organization, a group that connects more than 10,000 business leaders across the world.
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