January 18, 2024 - Due to popular demand, on April 18th the LSTA Operations Conference will once again take place – this time at the Hilton Philadelphia at Penn’s Landing. It has been five years since our operations professionals and subject matter experts have met in person to share their knowledge, ideas, and experiences. This conference will provide attendees with an opportunity for networking, education, and collaboration on topics relating to the broadly syndicated loan and private credit markets. A preview of some of the topics follows:
Loan Market Fundamentals and Nuances
New entrants to the loan market will be solid contributors daily if they have knowledge of not only the fundamentals but also the nuances of this asset class. Roles and stages in the loan life cycle, including an overview of deals, facilities, and loan trading documentation will be provided. All will benefit from gaining an enhanced understanding of best practices, including step-by-step procedures, which will be interspersed throughout the day.
Senior sell-side and buy-side representatives will review market data and timelines to illustrate the roadblocks that deter faster settlement for primary allocations and secondary par trades. They will debate if and how credit and trade documentation, existing processes, systems/technology, staffing issues and/or specific behaviors cause the roadblocks. Delayed compensation protocols, borrower and deemed consents, position reconciliations, cash management, differences between third-party and agented trades and the distinctions between primary and secondary trade settlement will be explored. Attendees will have the opportunity to recommend potential changes to meet the goal of shorter settlement times.
Restructurings and Distressed Debt Transactions
The operational issues and questions inherent in connection with restructurings, cashless rolls, fungible facilities, add-on facilities, non-pro-rata positions, etc. will be reviewed, and standards will be recommended. A refresher on distressed debt transactions and respective settlement will be provided.
Private Debt vs. Broadly Syndicated Loan Transactions
Since it is becoming increasingly important to optimize loan and agency processes to service the private debt and broadly syndicated markets, the operational similarities and differences between the two will be explored.
Technology and Workflows
Attendees will evaluate the current state of loan market operations with a focus on utilizing technology effectively, and further optimizing business workflows and processes to gain efficiency, transparency, and liquidity. The unintended consequences of recent SEC proposals and rulings force us to think about operations and settlement more strategically and tactically. What better place to do this than at a conference with your peers!
Digital Data and System Interoperability
Another essential topic of focus will be messaging standards and protocols, APIs, and interoperability among systems. Key to the use of innovative technology will be understanding how digital data and artificial intelligence can be used to our benefit. Transparent accurate real-time positions and ease of reconciliation is key to the success of a thriving market. This market can flourish neither on fax or email notifications nor with manual processes. Our panelists will explain how best to combine common business practices with the impact of digital technologies while considering cost, time, human resources and, most importantly, security. Transparent data must be secure! Pragmatic analysis by all must be done to implement process standardization and improvement.
Why YOU Should Attend
You might say, this is all good but why should I attend? If you have worked in loan operations – be it as a loan closer, administrative agent in connection with settlements and/or servicing, fund administrator, trustee, custodian, internal or external technologist, vendor, etc. – my guess is that you have more than a few opinions on how this market functions or more explicitly how it should function. Regardless of your role, you no doubt have a view on aspects that could be improved. The LSTA fully understands this, which is why we are inviting you to come and spend a day sharing your ideas so that we can solve problems together. Decide to attend the conference this April to help us help you!