Bringing about increased efficiencies and standardisation
Developing markets offer great opportunities as global dynamics shift, demand for their resources increases and new technologies evolve. At the LMA, we seek to bring about increased efficiencies and standardisation in developing markets, whilst educating our members about the opportunities and challenges they may face when operating in these regions.
On 28 May 2021, we published a further suite of documentation to facilitate the syndicated loan market in transitioning away from the use of LIBOR to compounded risk-free rates ("RFRs"). We published new Developing Markets and Investment Grade documentation based on compounded RFRs from the outset. We also updated our existing RFR documentation, and some of our investment grade 'Mandate and Syndication' documentation. In addition, we published an RFR drafting guide for our wider documentation suite.
Bringing together experts in their fields across the EMEA developing markets, this virtual conference aimed to help participants understand not just the impact of the Covid-19 pandemic, but also the underlying challenges and opportunities in these markets.
Watch our panel discussions now on demand on LMAPlayer.
On 6 May 2021, the US Alternative Reference Rates Committee (ARRC) published a set of market indicators that it will consider in recommending a forward-looking SOFR term rate. These are designed to measure progress in establishing deep and liquid SOFR derivatives and cash markets which are considered essential to a robust and stable term rate. The ARRC encourages market participants not to wait for a term rate and to make use of current SOFR conventions available now.