Market Advisory May 6, 2019 “Application of the U.S. QFC Stay Rules to Credit Agreements” The new U.S. “QFC Stay Rules”1 require U.S. global systemically important banking organizations (“GSIBs”) and their subsidiaries worldwide, as well as the U.S. subsidiaries, branches and agencies of foreign GSIBs, to include new language in certain of their credit agreements...
The U.S. Banking Agencies have issued final QFC Stay Rules which are designed to improve the resolvability and resilience of U.S. global systemically important banking organizations (G-SIBs) and the U.S. operations of foreign G-SIBs by mitigating the risk of destabilizing closeouts of qualified financial contracts (QFCs). The QFC Stay Rules require GSIBs to include new...
