U.S. Secretary of State John Kerry speaks to U.S. embassy staff in Doha, March 6, 2013.

UNITED NATIONS | Fri Mar 15, 2013 10:27pm EDT

UNITED NATIONS (Reuters) - Secretary of State John Kerry voiced support on Friday for an international treaty to regulate the $70 billion global arms trade, but restated Washington's "red line," affirming that it would not accept limits on U.S. domestic gun ownership.

The U.N. General Assembly voted in December to hold a final round of negotiations from March 18 to 28 on what could become the first international treaty to regulate international weapons transfers after a drafting conference in July 2012 collapsed because the United States and others wanted more time.

Arms control campaigners say one person every minute dies worldwide as a result of armed violence and that a convention is needed to prevent the unregulated and illicit flow of weapons into conflict zones fueling wars and atrocities.

"The United States is steadfast in its commitment to achieve a strong and effective Arms Trade Treaty that helps address the adverse effects of the international arms trade on global peace and stability," Kerry said in a statement.

"An effective treaty that recognizes that each nation must tailor and enforce its own national export and import control mechanisms can generate the participation of a broad majority of states, help stem the illicit flow of conventional arms across international borders and have important humanitarian benefits."

But he repeated that the United States - the world's No. 1 arms manufacturer - would not accept any treaty that imposed new limits on U.S. citizens' right to bear arms, a sensitive political issue in the United States.

"We will not support any treaty that would be inconsistent with U.S. law and the rights of American citizens under our Constitution, including the Second Amendment," he said.

"International conventional arms trade is, and will continue to be, a legitimate commercial activity," he said, adding that countries should work to prevent arms from reaching those who commit "the world's worst crimes, including those involving terrorism and serious human rights violations."

The point of the treaty is to set standards for all cross-border transfers of any type of conventional weapon - light and heavy. It would also set binding requirements for nations to review all cross-border arms contracts to ensure the munitions are not used in human rights abuses, do not violate embargoes and are not illegally diverted.

DISPUTE OVER AMMUNITION

The leading U.S. pro-gun group, the National Rifle Association, has vowed to fight the treaty, dismissing suggestions that a December U.S. school shooting massacre in Connecticut bolstered the case for such a pact.

If a treaty is approved, it will require ratification by countries' legislatures before it goes into effect. The NRA has warned the arms trade treaty would undermine the right to bear arms and says it will fight hard to prevent ratification if the Obama administration supports the treaty.

Backers of the treaty accuse the NRA of deceiving the U.S. public about the pact, which they say will have no impact on domestic gun ownership and would apply only to exports.

Some 150 countries will participate in the negotiations that begin on Monday at U.N. headquarters.

Human rights groups and other advocates of the treaty welcomed Kerry's statement.

"While the U.S. government reaffirms its red line on the Second Amendment, it did not issue any new red lines or demands on the international community," said Frank Jannuzi of Amnesty International. "We hope that this means that they will lead the next round (of negotiations) to consensus."

Daryl Kimball, head of the Arms Control Association, said Kerry's remarks were a "long overdue positive statement that makes it clear the administration is dedicated to pursuing a robust treaty."

He added that it was positive Kerry did not raise the issue of ammunition, something the United States had previously demanded be excluded from the treaty. Supporters of a tough treaty in Europe and elsewhere insist on including it.

Last month, U.S. National Security Council deputy spokeswoman Caitlin Hayden said Washington would continue to oppose the inclusion of ammunition in the draft treaty.

"Ammunition is a fundamentally different commodity than conventional arms," Hayden said. "It is fungible, consumable, reloadable, and cannot be marked in any practical way that would permit it to be tracked or traced."

A U.S. official told Reuters on Friday that Washington's position against including ammunition had not changed.

(Editing by Todd Eastham and Peter Cooney)

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BOSTON | Fri Sep 28, 2012 5:40pm EDT

BOSTON (Reuters) - Federated Investors Inc Chief Executive Christopher Donahue, who has fought increased regulation of money market funds, said on Friday he would support a limited reform proposal.

Donahue, whose Pittsburgh-based firm is one of the largest sponsors of money funds, said in an interview that he would back allowing funds to limit customer withdrawals in times of stress, a practice the industry calls "voluntary gates."

"That would work," he said. "It would be enhancing the resilience of the funds."

Forcing funds to adopt other reforms such as a floating net asset value would still be unacceptable, however, he said.

Donahue's comments come as federal regulators this week renewed their efforts to strengthen regulation of the $2.5 trillion money fund industry following the financial crisis, when dozens came under stress amid rapid withdrawals.

The revived talk of regulation hit Federated's share price, which dropped 5.4 percent this week, more than double the decline of competitors like BlackRock and Franklin Resources.

One member of the U.S. Securities and Exchange Commission, Daniel Gallagher, who had opposed a prior reform effort in August, said on Friday he hoped his agency would consider a fresh approach, even as the new U.S. risk council is exploring ways to also tighten regulations on the industry. Gallagher's openness to an alternative proposal may greatly increase the chances for new rules.

SEC Chairman Mary Schapiro and others have called for reforms that include requiring the funds to hold capital against potential future losses or move away from the traditional $1 per share fixed net asset value.

The changes proposed by Schapiro, a Democrat, faced strong industry opposition from Federated and other firms. Ultimately, Schapiro could not garner enough support from Gallagher and fellow Republican Commissioner Troy Paredes and Democrat Luis Aguilar last month.

Gallagher and Paredes have described optional withdrawal limits like those favored by Donahue as a way that money fund boards could avoid rapid and destabilizing withdrawals. Under a 2010 rule change, such limits could only be imposed if the fund was closed and put into liquidation.

Donahue said his firm has backed "voluntary gates" in the past, and that the device helped preserve capital at a $12 billion fund run by Putnam Investments before it was taken over by Federated at the peak of the crisis.

(Editing by Leslie Gevirtz)

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