Here are updates to our Fund Finance Calendar.
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This week we connect with Alex Bolton for a sweeping discussion that covers competing in a crowded lending market and the outlook for fund-level asset-backed lending, as well as his observations on deal pricing. Alex is a senior banker in the New York fund finance team of National Australia Bank. |
A regime for a mix of events which require mandatory prepayment and options for borrowers to make voluntary prepayments, as well as mandatory or voluntary cancellations, are a common feature of all LMA-based loan documents, and a subscription/capital call facility is no exception.
An IASB accounting standard set to take effect in 2021 may lead non-U.S. insurance companies to increase allocations to private funds to diversify existing holdings and to enhance returns.
In the United States, while there are certainly exceptions, it has become a common market custom for the debt limitations in a subscription facility to simply incorporate the debt limitation(s) in the fund’s partnership agreement (the “LPA”). We reviewed a facility recently where that construct had the potential for a syndicate member to get sideways with the terms of their initial credit approval, so we wanted to highlight the issue.
Fitch Ratings recently published a primer on the securitization of private equity fund interests or "LP interests" (typically called "collateralized fund obligations" or "CFOs").
Our London team hosted a special private function for their clients and families on 12 October with performances from entertainers, including a private performance from leading comedian and “8 out of 10 Cats star” Sean Lock and a few other famous faces!
Offshore law firm Ogier earlier this week published an article about Powers of Attorney as a component of a subscription line lender’s security package.
The Wall Street Journal published an important analytical article on bond ratings earlier this week that may have been overlooked because of its Sunday publication.
RBS International published an article last week titled “Internal rate of return: a trusted metric?”