The ongoing credit crunch is starting to hit mutual funds, according to a recent review by Standard & Poor's that revised credit quality ratings on eight tax-exempt mutual funds.

The agency viewed the eight funds to have material exposures to Ambac Assurance Corp. and MBIA Insurance Corp. - both of which Standard & Poor's placed on negative CreditWatch while lowering their financial strength ratings to AA from AAA on June 5.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.