News & Analysis as of

Hedging Interest Rates

ASKramer Law

Business Taxation of Hedging Transactions Part III: Identification Requirements and Aggregate Hedging

ASKramer Law on

When must a hedge be identified and accounted for tax purposes? Taxpayers must identity each hedging transaction and the item it hedges. A taxpayer must clearly identify a hedging transaction “before the close of the day on...more

ASKramer Law

Business Taxation of Hedging Transactions Part II: Common Situations

ASKramer Law on

What is the “tax character” of a hedge? A taxpayer receives ordinary gain or loss on qualified hedges that have been properly identified in accordance with Treasury Regulation § 1.1221-2. This allows a taxpayer to ensure that...more

ASKramer Law

Business Taxation of Hedging Transactions Part I: Hedging Risks

ASKramer Law on

Enterprise Risk Management is widely used in many industries and businesses. Risk managers use increasingly sophisticated approaches, methods, analytics, and frameworks to manage complex, interrelated, and interconnected...more

BCLP

FCA’s Cash Savings Market Review

BCLP on

On 31 July 2023, following roundtable discussions held with banks earlier that month, the FCA published its Cash Savings Market Review (the “Review”). In this insight we explore the content of the Review, as well as...more

ASKramer Law

Hedging: Favorable Tax Treatment Requires Careful Compliance

ASKramer Law on

It is a common practice for businesses to manage their business price risks by entering into derivative contracts. Because their business activities generate ordinary income and loss, they want to obtain ordinary tax...more

Cadwalader, Wickersham & Taft LLP

Interest Rate Hedging in Volatile Markets

The mini budget delivered by UK Chancellor Kwasi Kwarteng on Friday, 23 September received an overwhelmingly negative response from the financial markets. When Asian markets reopened on the Sunday night UK time that followed,...more

Holland & Knight LLP

Libor Steaming Toward June 2023 Transition

Holland & Knight LLP on

The U.S. dollar London Interbank Offered Rate (Libor) publication is scheduled to end by June 30, 2023. With roughly nine months to go as of this writing, parties still have time to make modifications to existing debt...more

White & Case LLP

Term SOFR: a non-US market perspective

White & Case LLP on

The hard deadline for stopping new use of USD LIBOR following 31 December 2021 is rapidly approaching. Latest market practice as at end November 2021 suggests that some loan market participants are (at last) now contracting...more

Latham & Watkins LLP

Using the ISDA IBOR Fallbacks Supplement in Finance-Linked Hedging Transactions

Latham & Watkins LLP on

While a welcome development for parties to derivatives transactions generally, the launch of ISDA’s robust benchmark fallbacks may not be the most appropriate solution for IBOR cessation in finance-linked hedging transactions...more

Stinson - Corporate & Securities Law Blog

FASB Issues Exposure Draft on LIBOR Transition

FASB has issued a proposed Accounting Standards Update, or ASU, to provide temporary optional guidance to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial...more

White & Case LLP

The EU loan syndication impact assessment is out: more competition scrutiny ahead?

White & Case LLP on

Setting the scene The long anticipated European Commission (DG COMP) report on "EU loan syndication and its impact on competition in credit markets" (see here) has finally been published. The study primarily focuses on the...more

Jones Day

SIDRU Judgment: Hedging Transaction Not Rendered Speculative Even if It Exposes Party to Unlimited Risk

Jones Day on

The Context: In the wake of the Saint-Leu-la-Forêt decision of May 28, 2018, France's Court of Cassation issued an important decision on structured swaps concerning legal actions brought by public authorities against banks...more

Morrison & Foerster LLP

Banks Do Not Owe a Duty of Care to Customers in Relation to Interest Rate Hedging Products Review

The Court of Appeal has held that banks do not owe a duty of care in tort to their customers when carrying out a swaps misselling review required by the banks’ agreement with the Financial Conduct Authority (“FCA”). The...more

Morgan Lewis

Multijurisdictional Securitization in the Age of Risk Retention

Morgan Lewis on

The challenges of complying with both the US rules and the EU rules. Both United States and European Union laws now require 5 percent credit risk retention for securitization transactions. While the jurisdictional scope...more

A&O Shearman

German Federal Court of Justice defines exception to disclosure obligation relating to gross margin of a swap

A&O Shearman on

Exactly five years after its landmark decision in 2011, the German Federal Court of Justice (Bundesgerichtshof, BGH) has handed down another important decision in the ongoing swap saga. Banks must normally disclose the...more

Orrick - Finance 20/20

Interest Rate Hedging Products: Review of Misselling

On January 31, the FSA published a report of its findings from pilot reviews conducted by banks into the misselling of interest rate hedging products to small businesses....more

Orrick, Herrington & Sutcliffe LLP

Orrick's Financial Industry Week in Review - February 4, 2013

In This Issue: *Financial Industry Developments - SEC Extends Exemptions for Security-Based Swaps - Fed Announces Release Dates for Results of Supervisory Stress Tests and CCAR - Rating Agency Developments...more

17 Results
 / 
View per page
Page: of 1

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
- hide
- hide