Two recent news items got me thinking about public pensions, their continued rise in private equity and their sovereign status. The first news item, already widely covered in the media, is the announcement by the Securities and Exchange Commission of new rules requiring (among other things) enhanced periodic disclosure for fees, expenses and performance (including, possibly, reporting performance with and without the use of fund financing). The second news item is the increasing deployment of public pension money in private equity as a long-term secular trend.
As noted in our previous update, “‘NAV’igating Cayman Share Security – Lender FAQs,” fund finance lenders are increasingly encountering pledges of shares in SPVs incorporated in the Cayman Islands as part of the collateral package in NAV-based transactions. Another commonly seen aspect of such deals is a pledge of limited partnership interests (“LP Interests”) held by a borrower or other credit party (“Credit Party”) in one or more exempted limited partnerships formed in the Cayman Islands (“Cayman ELPs”). Such Cayman ELPs may be downstream holding or operating vehicles held by the Credit Party or interests it holds in funds managed by other sponsors. While security over LP Interests in Cayman ELPs is similar in some ways to taking security over shares of a Cayman company, there are some notable differences in legal requirements. This note aims to answer some of the most frequent questions that lenders ask in respect of security over LP Interests in Cayman ELPs.
The Fund Finance Association this week opened registration for the 6th annual European Fund Finance Symposium, which will open with a Welcome Reception on the evening of June 27 and take place on June 28 at the Landmark Hotel in London. For more information or to register, click here.
Join WFF on Tuesday, March 22 for a Fireside Chat during which individuals from Macquarie Group will discuss the keys to engaging a hybrid team in the age of remote work. To register, please visit here.
WFF will host its first “Wit & Wisdom Series” event of 2022 on Thursday, March 31 in New York City on the topic of “Advocating for Yourself.” The series connects senior women in the fund finance industry with junior members for intimate breakfast discussions. For more info, please visit here.
The NextGen APAC team will be hosting an April 7 panel discussing the use of HK and Singapore fund structures, in addition to current trends and a market update for the Asia-Pacific fund finance market. Click here for more information and to register for the event.
WFF US will host an April 7 Breakfast Event with Ilise S. Carter, author of “The Red Menace: How Lipstick Changed the Face of American History.” To register, click here.
The recent Fund Finance Association Symposium held in Miami marked the emergence of Fund Finance from a subset of private funds to an asset class in its own right. Read in The Drawdown about how the industry blossomed from a fringe private-capital player, the proliferation of new products and actors in the space and potential industry growing pains. Click here to read the article.
Wells Fargo is hiring two Investment Banking Associates in New York, Los Angeles or Charlotte.
It happened in an instant. Almost overnight Russia, the world’s eleventh-largest economy, was transformed from an important player in global financial markets – both as a destination for investment and a source of capital – into a country shunned by much of the international community. In response to Moscow’s invasion of Ukraine, the United States, European Union, and United Kingdom, along with a host of other countries, have imposed crushing economic sanctions impacting nearly every corner of Russia’s economy.