Mutual funds own 1/6 of US corporate bonds. They perform maturity transformation by offering daily redemption despite holding assets that are quite illiquid, particularly in

Limits on dealer balance sheet capacity were a key factor in March 2020 turmoil. JP Morgan likes to say that this is result of post-GFC

In March 2020 "The reduction in high-speed market-making activity appears to have contributed to the spread of pandemic-related stresses to even the most liquid segments