Understanding The Increasing Use Of Holdco NAV Loan Structures

While the market for NAV financings—loans to funds supported by the net asset value of their portfolios—grew in 2023 and continues to rapidly evolve, a consensus has developed around what is sometimes referred to as a “Holdco Structure.”

The Holdco Structure is an approach used by a variety of borrowers and lenders across asset classes largely because it can address issues that repeatedly arise when negotiating and structuring NAV facilities. In Holdco Structures, the funds […]

By | Jul 21, 2024 ||

S&P Downgrade Hurts Middle Tennessee Banks

As the world digests the fallout of the recent Standard & Poor’s downgrade of the U.S. debt rating, further downgrades by S&P or the other rating agencies could have significant long-term effects on the country’s community banks.

The initial capital effects of these downgrades will be muted by current regulations and the fact that any potential decrease in value would likely not be enough to eat into bank capital positions. But the long-term interest rate increase that […]

By | Jul 19, 2024 ||

The CFPB Turns Its Focus To Credit Card Reward Programs

The Consumer Financial Protection Bureau (CFPB or Bureau) released a new report spotlighting common consumer complaints for credit card rewards programs. The Bureau and its Director, Rohit Chopra, have been focused on payments oversight, including by proposing a rule last Fall that would apply to nonbank entities that provide digital wallets. The new report discusses the relationship between consumers and the providers of reward programs, and it stresses the need for fairness and transparency.

Rewards programs have grown in […]

By | Jul 17, 2024 ||