800 delegates attend the LMA's annual conference20 September 2013
Yesterday the LMA held its annual conference in London attracting a full capacity audience with 800 professionals active in the loan market attending.
One of the themes of the day was the LMA's role of "connecting members in a changing world" and as the largest syndicated loans conference in EMEA, the conference was the perfect opportunity to network with and listen to some of the industry's most experienced participants discussing the outlook and challenges facing the loan market.
As well as covering the primary and secondary markets, the programme reflected the LMA's diversification and expansion into new areas of the loan market with sessions on commodity finance, developing markets and real estate finance.
One clear message that came out of the conference was the strength and flexibility of the loan product. Keynote speaker Stuart Popham, Vice Chairman EMEA at Citi, told the audience, "The loan market performs an essential role at the centre of the economy, providing finance for companies in the UK and worldwide. By demonstrating their value to society, banks will restore their reputation without the need for additional regulation."
Mike Killoran, Group Finance Director at Persimmon plc, outlined how Persimmon use the loan product and the important part it plays in delivering the company's objectives. Noting the importance of relationship and the understanding by lenders of the company's business, particularly important for a business exposed to the economic cycle, he explained that, "The strength of the loan product is its flexibility, confidentiality and deliverability."
As usual the audience were given the opportunity to vote on questions related to the market. Of those that responded:
- 40% felt that large financings is where the best opportunities will lie in the next 12 months.
- 78% believe market volumes will increase by more than 10% for the EMEA syndicated loan market in the next 12 months.
- 53% felt that the current regulatory proposals were more wrong than right in trying to achieve the correct balance between preventing another financial crisis and not overly restricting economic growth.
- 72% felt their institutions should seek more exposure to the EMEA developing markets.