By Elwin de Groot and Bas van Geffen of Rabobank
“If it looks like a duck, and quacks like a duck, we have at least to consider the possibility that we have a small aquatic bird of the family Anatidae on our hands” – Douglas Adams
There are several assets that may have managed to pass this duck test in more opportune market environments. However, the true test is usually when the sea is less smooth sailing. On 16 September 2008 the Reserve Primary Fund, a money market fund aimed at retail investors, saw its Net Asset Value fall to $0.97 a share, below the $1 value it was as supposed to have as a protective floor. It was a historic moment and the parting shot for significant outflows in money market funds and another lurch towards a long road of rebuilding trust.
For those who are in the business long enough, the