Bank of England publishes discussion paper on risk management approach to collateral referencing LIBOR for use in Sterling Monetary Framework
The Bank of England has published a discussion paper on its approach to the risk management of collateral referencing LIBOR for use in the Sterling Monetary Framework. The Bank of England accepts a wide range of eligible collateral, which includes corporate loans and securitisations. A subset of this collateral references LIBOR in some way.
The discussion paper outlines a number of risk management approaches currently under consideration by the Bank of England to ensure that it remains well placed to provide liquidity insurance in support of financial stability. Responses to the discussion paper are due by 27 September 2019.
LIBOR transition - the loan operations perspective
This video is a recording of a session that was delivered by Kam Mahil (Director, Legal - LMA) and Brian Fraser (Senior Manager, Markets Lending Delivery - Lloyds Banking Group) as part of the LMA Loan Operations Conference on 6 June 2019.
Brexit and LMA Documentation Update
The LMA is aware of the publication of the UK's legislation which is intended to "onshore" EU law with effect from 31 October in the event that the UK leaves the EU without an agreed transition period. As is the case with any potential change in legislation, the LMA is not planning to make any changes to its English law documentation before any proposed change in English law actually takes effect.
The LMA is in the process of considering appropriate changes to be made to the relevant legislative references in its documentation in the event that the UK's onshoring legislation becomes effective on 31 October. If the UK's onshoring legislation becomes effective on 31 October, the LMA's intention is to publish a table of those suggested changes on or about that date so as to release them to members as soon as possible. Those changes will then be incorporated into its documentation suite over the following weeks.
Sustainability Linked Loan Principles
The LMA, together with the APLMA and LSTA, has
launched the Sustainability Linked Loan Principles (SLLP).
Brexit – UK Parliament rejects Withdrawal Agreement for third time. What happens next?
The UK Government has failed to secure the approval by the House of Commons of the Withdrawal Agreement on its third attempt. The UK will now leave the EU with "no deal" on 12 April 2019 unless an alternative route is found. This briefing by Clifford Chance sets out the next steps, possible alternatives and their implications.
Recent LMA Documentation
LMA releases note on U.S. QFC Stay Rules and syndicated loans
LMA releases guidance note on recent developments relating to the future of EONIA
New version of the LMA's German Law Multicurrency Term and Revolving Facility Agreement
Guidance note: United States and European Union sanctions
Recent LMA Submissions
LMA submits representations relating to the Transposition of the Fifth Money Laundering Directive Consultation
LMA responds to the EBA's consultation paper entitled "Draft Guidelines on Credit Risk Mitigation for institutions applying the IRB Approach with own estimates of LGDs"
LMA responds to the proposed Directive of the European Parliament and of the Council on credit servicers, credit purchasers and the recovery of collateral ("Proposed Directive")
LMA responds to the second public consultation on determining an ESTER-based term structure methodology as a fallback in EURIBOR-linked contracts
