Avaliable as an in-house course only                                                                                                             

 
Course Overview

At the end of this course delegates should be conversant with repurchase agreements and the alternative structures available to finance securities.

These will include asset backed securities and credit derivative driven instruments. In addition, they will be able to understand pricing issues, the appropriateness of products, their applications and risks.

Participants will have had the opportunity throughout the course to get to grips with the theory and practicality of the subject matter through the use of exercises.

Course Content

The Repurchase (Repo) Market
Traditional bond lending
Risks & shortfalls
Classic repos, and reverse repos
Third party repos
Risk management & cash-flow control
Repo development and innovations
Sale & buy back
The mathematics of classic repos and buy-backs
Cash-flow led structuring
Issues for commodity & stock repos
Tax-efficient structuring
Standard documentation and the legal risks

Alternative Financing for Securities
Total Return Swap
Use as a repo replacement
Price vs. Protection issues
Use as a risk transference tool
Legal and regulatory issues

Asset Backed Securities (ABSs) as a Portfolio Financing Structure
The history of the development of ABSs for financing securities.
Practical issues in financing securities using ABSs
Creating & managing the pool
Top-up and Substitution procedures
Conduit structures, Special Purpose Vehicles / Entities (SPVs & SPEs)
The roles of the various parties to an ABS programme
Credit Linked Notes (CLNs), Mortgage Backed Securities (MBSs) Collateralised Bond Obligations (CDOs) and Synthetic Collateralised Debt Obligations (SCDOs).
Structuring an ABS.
Using short term assets in ABSs

The Use of Derivatives in ABS issues
Using Credit Derivatives to replace or enhance the pool
Credit Default Swaps
Total Return Swaps

PDF of course outline - Please note that tailoring is possible


IF YOU HAVE ANY QUESTIONS ABOUT THIS SEMINAR PLEASE WRITE TO US AT post@redcliffetraining.co.uk

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