The End of LIBOR: Advising Investment Managers on the Transition
Asset Management Authority and Obligations, Legacy Contract Amendments, Disclosures on New Investments
Recording of a 90-minute premium CLE webinar with Q&A
This CLE course will analyze the legal and economic risks for investment managers and other market participants in the coming transition away from LIBOR and the steps they should take now to mitigate those risks. The panel will discuss recent SEC guidance on how to manage the transition in existing and future investments.
- Background on LIBOR transition to 2021 phaseout
- The Secured Overnight Financing Rate (SOFR): how it differs from LIBOR
- Addressing LIBOR phaseout in legacy contracts
- Addressing LIBOR phaseout in new investment contracts
- Actions required of investment and fund managers
- Analysis of investment management and other agreements to determine the authority of the manager, rights of investors
- Determination of disclosure obligations under offering and deal documents
- Determination of appropriate benchmark replacement risks and calculations thereof
- Assess potential valuation issues, basis exposure, repapering issues, tax and accounting matters
- Managing the process: role of counsel
The panel will review these and other relevant issues:
- How is SOFR different from LIBOR? Are any alternatives being discussed?
- To what extent do existing investment contracts allow for an alternative to LIBOR? What if they do not?
- What steps should investment managers follow to perform due diligence on their portfolios and communicate any necessary adjustments to their clients?
- What disclosures are required in connection with new offerings?
William J. Breslin
Fried Frank Harris Shriver & Jacobson
Mr. Breslin is a member of the Firm's Asset Management Group. His practice concentrates on derivatives, futures and... | Read More
Mr. Breslin is a member of the Firm's Asset Management Group. His practice concentrates on derivatives, futures and commodities. Mr. Breslin advises a wide range of clients, including hedge fund managers, private equity managers, commodity pool operators, commodity trading advisors, futures commission merchants, commercial end-users, and other businesses on regulatory and transactional issues related to derivatives, commodities and securities law matters. He also assists clients on their compliance with the Dodd-Frank Act, the applicable requirements of the Commodity Futures Trading Commission, the U.S. Securities and Exchange Commission, the National Futures Association and the rules and regulations of various clearinghouses and exchanges. Mr. Breslin also specializes in negotiating and documenting over-the-counter and exchange traded and cleared derivatives.Close
Mr. Hoffman is a Director with Chatham’s Global Real Estate team. His Chatham experience has included strategic... | Read More
Mr. Hoffman is a Director with Chatham’s Global Real Estate team. His Chatham experience has included strategic structuring and execution of derivatives transactions, primarily specializing in global derivatives regulation, for a broad base of real estate, private equity, and corporate clients. Mr. Hoffman also advocates on behalf of end users in educating policymakers, trade associations, and other key stakeholders regarding various domestic policy and economic issues affecting debt and derivatives markets, including as related to the Dodd-Frank Act, EMIR, and the transition from LIBOR to SOFR. Prior to joining Chatham, he was an attorney with Duane Morris LLP, specializing in business reorganization and financial restructuring. Mr. Hoffman holds a JD from Columbia Law School and is a cum laude graduate of Brandeis University, where he earned a BA in Economics. He also holds a Corporate Certificate in Real Estate Finance and Investment from the NYU Schack Institute of Real Estate.Close
Robert M. McLaughlin
Fried Frank Harris Shriver & Jacobson
Mr. McLaughlin is a corporate partner resident in Fried Frank’s New York office, where he is a member of the... | Read More
Mr. McLaughlin is a corporate partner resident in Fried Frank’s New York office, where he is a member of the Asset Management and Financial Services Practices. He is head of the Firm’s Derivatives Practice and a leading practitioner in derivative transactions of all types, including futures, over-the-counter derivatives and cleared swaps, as well as related collateral, guarantee, custody and other credit support arrangements. Mr. McLaughlin also maintains a leading practice in repurchase, securities lending and prime brokerage and other types of trading agreements, as well as structured products, synthetic equity and fund-linked investments, credit extensions, loan trading and derivatives claim trading. His clients include hedge funds, private equity funds, investment management firms, investment and commercial banks, mutual funds, individual investors, corporations and government-sponsored entities. Mr. McLaughlin regularly advises market participants on legislative and regulatory developments concerning futures, derivatives, cleared swaps, bankruptcy and insolvency safe harbors, and market structure and facilities.Close