Suddenly, for a lot of folks, this doesn't seem like a spectator sport anymore, huh? They're discovering that their 401k plans offer no safe place to hide, even if they had the good sense or good luck to stash cash in money markets before the big equity losses started piling up.

It's good that the issue of "breaking the buck" is being discussed, and I agree that fund managers have to step up to the microphone and be a part of the conversation. In the meantime, when checking out your fund's prospectus, also have a look at the expense ratio. Have the fund managers "generously" reduced the fee they charge recently? That could be a sign they're "buoying" the buck already.

The thing that blows me away is that at the same time the bottom is dropping out of our stockmarket, our president is giving Ghana millions of dollars to their leader during the same time period. I hope John McCain will keep his promise and stop donations to other countries who really do not care for us unless it needs a hand out. Enough is enough.

Get real Sue, John McCain is a clone of George Bush!
We need a new perspective here and that will only come with Obama/Biden

I put most of my money market funds into Pfizer stock, paying 6.5+dividend and only taxable at max of 15%...figure if lose on stock price while market is in turmoil that is still safer than mmf's or banks and it will come back eventually

Study history and get the facts straight before making grand pronouncements!The housing problems and the accompanying credit crisis began in the Clinton administration when Bill strongly advocated making it possible for every family to own a home. Pressure was applied to the large firms, who seemed to have an endless supply of money, to bend and be flexible and to take a chance so that everyone could buy a home. Today, we are seeing the tragic results of such unwise policies and practices. Of course it's easy to blame Bush and forget about what Clinton did. Then, In 2005 Senator John McCain recognized the problem and presented a bill in the Senate which stated that there were massive housing irregularities, particularly within Fannie May and Freddic
Mac, and that these irregularities needed to be confronted and stopped
or it would drastically affect our entire economy in a negative way. When McCain's bill went before the Senate, it was quickly killed by the Democrats!!

This is not the end of the world. These companys are tight for money for the sub prime mess that the Democrats like OBAMA and DODD and a few other people in Congress forced the loans to black folks who should have been renting and didn't understand what they were getting into. Now the FEB will sell the paper on firms like AIG and the folks will get a good return on their money. This is not a time for knee jerk regluations. This is a time to change management at these companys and change the way the CEOs are payed. With the loans which are not bail outs as the left leaning thugs are putting out their. And you lesson to Obama and McCain they need some education on the market. Sure hope McCain brings in Rommey when he becomes President. Waiting for some more of these moderate and conservative Democrats see the light and come over to the McCain side. With people like Raines and Johnson around OBAMA we are in deep do-do. Come Democrats get the message from the gal who was big fund raiser for Hillary and come to McCain before we have a disastor.

Its very unfortunate but lots of these banks were giving away loans to people who really could not afford them! The banks just figured they would make money off the loans if the people holding the mortages didnt falter for a few years.The banks loose alot now since the price of a home has gone down drasticly so the banks are loosing lots !The banks can never get that money back in resale of these foreclosed homes ! Now ALL backfired on these banks that gave the loans to high risk people that could not pay! I am sorry but the banks get what they deserve and are now paying the price for such carelessness ! What a shame it has come to this! Lets all pray it gets fixed soon !

From "Nick"

>

I have a news flash for you Nick... We already ARE in a disaster. And Obama has NOTHING to do with it. It is your boys in charge!

I said this two years ago but no one pay eany atenction i am saying now next month will be the yorst year in american history watch it .

The test of "profitability" of deposit banks purported by the author is wholly inadequate. There are vast billions of "loans" being reported at full cost which are worthless because they were made to facilitate criminal theft of stockholders equity via "stock buybacks" which reduced the borrowers to de facto bankrupt status. Numerous similar criminal purpose loans have been made by banks and hidden away under "Other Assets" despite their non-performing status. The flurry of bank "mergers" has created vast fluff accounts consisting of "excess of price paid over fair market value of assets acquired" which in some cases are more than the pretended gross equity of the "bank". Net *Tangible* Equity is the only realistic test of whether a bank is sound and it must be calculated using a jaundiced eye on pretended "assets" which are already known certain to be worthless.

The last paragraph in the article might be misleading to some people. It might imply that the Federal Government will not cover federally-insured FDIC bank deposits if the FDIC fund is wiped out. I am under the impression that this is not the case, and that the Federal Government will cover FDIC-insured deposits even if the FDIC fund is wiped out. For accurate information, people should check with the FDIC headquarters in Washington, DC on this issue and any other deposit insurance issues. I also think AOL and the author should review the paragraph and clarify its contents.

The banking crisis is a mess, This is what happened, Mortgage Companies and Banks put millions of mortgages in large bundles, and sold them as sub prime notes Every body was making lots of money, Most of the mortgages were in variable rates. When the rates doubled, Home owners could not make their payments anymore so fore-closures started happening everybody was trying to sell the notes. It was a like giant perimid Everything crashed,The Banks Mortgage Companies , and Brokers should be regulated like the 60s and 70s

Tom, you get real. Obama/Biden are nothing more than a BAD DEM JOKE! All they know is more taxes!

I made the move today because I wanted to fully protect my cash funds I decided to move them from my Vanguard prime money market account to my online ING Direct savings account ( http://www.savingtoinvest.com/2008/09/moving-my-vanguard-money-market-funds.html) . This is not a reflection on Vanguard, because it is the best fund manager in the industry, it is more a risk management move on my part due to all the financial market and institutional turmoil.