Unless you're a hedge fund that needs cash because of withdrawals, so you sell the most liquid asset you have, ie, the "dash for cash." If market drops continue apace, stresses might induce fund failures either because of margin calls or wholesale withdrawals. That's why Ackerman's worried.

In fact there is explicitly a ban on the feds cutting off federal funds simply because the feds don’t like the speech of students, and others: it’s called the First Amendment