The explosion of new financial products over the past 10 years, the implosion of the credit markets in 2008, and the new regulatory regime heralded by Dodd-Frank underline the importance of a basic understanding of these complex financial instruments. Credit derivatives and other increasingly complex instruments may have contributed to some institutions’ assumption of risks they did not fully understand. Bank hybrid securities, once so popular because of their tax and rating agency treatment, will continue to be unwound as their capital treatment has been eroded. Exchange-traded funds, and now their competitors, exchange-traded notes, have brought changes to the investment management industry. While these instruments have been, in the view of many, invaluable investment tools, and have presented enormous potential for product manufacturers and investors, they also create potentially significant legal risks and challenges for their promoters, users, legal counsel and regulators.
What you will learn:
The seminar is designed as a hands-on learning tool to explain the fundamentals that you need to know when dealing with numerous and varied financial investment products. Specifically, you will learn:
- How financial products have impacted the financial markets crisis
- What the future holds for financial products, especially in light of Dodd-Frank and the avalanche of regulatory actions resulting from it
- How CDOs and other derivatives will be regulated under the new regulatory regime
- The significance of the SEC’s focus on mutual fund and exchange traded funds’ investments in derivatives
- The emergence of exchange traded notes as an asset class
- The issues associated with structured notes
- Future prospects for the various forms of securitized products
- How mutual funds and hedge funds are structured
- The SEC’s study of broker-dealer fiduciary duty and its implications regarding mutual funds and other financial products
- How Dodd-Frank affects the role of credit rating agencies – and their customers
- The roles of the various regulatory agencies
Chicago partner, Stuart Litwin will be speaking on February 14 during the segment titled “Securitized Products.”
For more information and to register, please click here.