Market Structure and Dynamics
Regularly reviewing our market structure, processes and dynamics is a key component to achieving SFA’s mission of promoting a robust, liquid and healthy structured finance market as it grows and adapts to the consumers and businesses it supports.
Overview
It may surprise policymakers and regulators, as well as even some market participants, to know that it is currently very difficult – and sometimes impossible – for bondholders to communicate with the companies that issued the securities they own or for bondholders who own the same security to communicate with one another.
The current system is so unreliable that when evaluating potential solutions for the transition away from LIBOR, one of our financial markets’ most serious risk today, market participants view the option of soliciting bondholder consent for an amendment as largely unfeasible.
Publications & Resources
News
SEC Atkins May Seek to Increase Investor Access to Private Markets
Securities and Exchange Commission Chairman Paul Atkins stated that he is open to changing SEC rules that currently restrict the sale of closed-end funds that…
US Borrowing Costs Rise After Credit Downgrade
The downgrade of the U.S.’s sovereign credit rating has caused borrowing costs for the U.S. government to rise. Reasons for the downgrade include questions about…
Private Asset Offerings Expected to Grow
The availability of private credit in financial products is likely to increase as financial institutions try to create products that are attractive to retail investors,…
WSJ: Millions of Student Loan Borrowers Put into Collections
Following the restart of student loan payments on May 5, many seriously delinquent student loan borrowers are now in collections. These borrowers will begin receiving…
Economic Uncertainty Influences Investment Strategies
Early tariff announcements initially caused large capital outflows from U.S. stocks and bonds, according to Reuters. While outflows have since slowed as investors re-engage with…