Securitization and Structured Finance Law Attorneys

Understanding Securitization and Structured Finance Law

Securitization and structured finance are complex areas of law involving the conversion of assets – such as mortgages, auto loans, or credit card receivables – into marketable securities. These transactions play a critical role in modern financial markets, allowing lenders to free up capital and investors to access diverse investment opportunities. However, they also come with significant legal and regulatory considerations.

Our practice focuses on advising clients involved in all stages of securitization and structured finance, including structuring the transaction, drafting and negotiating legal documents, ensuring regulatory compliance, and managing legal risks. We specialize in assisting businesses and financial institutions with:

• Asset-Backed Securities (ABS) Transactions: We guide clients through the creation of ABS, which are securities backed by a pool of assets. This includes advising on the selection of assets, establishing the trust structure, and complying with regulatory requirements like those issued by the Securities and Exchange Commission (SEC) and the Federal Deposit Insurance Corporation (FDIC).
• Collateralized Debt Obligations (CDOs): Our attorneys possess expertise in navigating the intricacies of CDOs, which are complex securities structured from multiple debt obligations. We help clients understand the legal and regulatory landscape surrounding these transactions.
• Mortgage-Backed Securities (MBS): We provide legal support for the issuance and trading of MBS, ensuring compliance with regulations such as the Dodd-Frank Act and related guidelines.
• Structured Finance Agreements: We draft and negotiate a wide range of structured finance agreements, including credit agreements, repurchase agreements, and servicing agreements.
• Regulatory Compliance: We stay abreast of evolving regulatory requirements related to securitization and structured finance, helping clients proactively manage their compliance obligations.

Key Legal Considerations:

1. Securities Laws: Securitization transactions are subject to extensive securities laws, requiring careful structuring and disclosure to ensure compliance.
2. Truth in Lending Act (TILA) and Regulation D: These regulations govern the disclosures required for loans underlying securitized assets.
3. Federal Deposit Insurance Corporation (FDIC) Regulations: The FDIC plays a significant role in overseeing securitized assets held by banks.
4. Risk Management: We assist clients in developing robust risk management frameworks to mitigate the potential risks associated with these complex transactions.

Our experienced attorneys bring a deep understanding of the legal and regulatory landscape surrounding securitization and structured finance. We work closely with our clients to develop tailored legal strategies that achieve their financial objectives while minimizing legal risks. We focus on delivering practical, commercially-sound solutions that support long-term success.