4月, the National Securities 清算 Corporation (NSCC), 存的子公司清算机构, successfully completed its inaugural term debt issuance in the amount of $2 billion as part of its strategy to diversify its default liquidity resources. While NSCC issues commercial paper to raise default liquidity, this marks the first time in the firm’s history that NSCC has raised funds through a term debt issuance via an offering under Rule 144A. 卢卡斯·莫雷尔, 存董事总经理兼财务主管, sat down with 存管连接 to explain the reasons for taking this new approach, and how it will help mitigate risk and maintain stability in the financial marketplace.
是什么促使澳门赌场发行学期笔记?
LM: Our goal was to access another market to raise default liquidity, which are the funds we need to have available to complete settlement when a clearing member defaults on its obligations to NSCC. 作为中央对手方, we are in the middle of all guaranteed transactions we clear, and it is NSCC’s responsibility to take on a defaulted member’s obligations and complete settlement.
而北卡罗来纳大学有其他流动资金来源, 包括结算基金, 承诺的信用额度, 还有商业票据项目, we started this new program to further diversify and augment our portfolio of default liquidity resources.
DC: How much liquidity is NSCC raising through this initiative?
LM: We issued a total of $2 billion in “medium-term” notes in two tranches of $1 billion each; $1 billion has a maturity of three years and the other is five years. 澳门赌场是美国唯一的中央交易对手.S. that clears broker-to-broker trades involving equity securities, 公司及市政债券, exchange-traded funds (ETFs) and unit investment trust (UIT) transactions. 监管 requirements mandate that we have enough liquidity resources on hand to close out the guaranteed obligations of our largest member family.
DC: How will this debt issuance benefit NSCC member firms?
LM最重要的是, raising funds through a debt issue will increase our prefunded liquidity resources, 手头有现金总是更好的选择. 也, it supports the resiliency of the central counterparty, 怎样才能降低系统风险, providing stability to the financial markets in which we operate, 包括我们的成员. As our members continue to face liquidity and capital constraints, we’re able to use our balance sheet to raise default liquidity so they can more efficiently use their resources to maximize returns.
DC: This sounds like a win-win for NSCC and our clients. Have we ever raised money through a debt issue like this before?
LM不，这对我们来说是开创性的. While the closest thing we’ve done akin to this is the commercial paper program, 这也是出于违约流动性的目的, issuing medium-term notes involved accessing a different market, which has unique trading strategies and investors. Since this is the first time we’ve accessed the investment-grade debt market, 这笔交易本质上是我们的“优先债务IPO”, 这很令人兴奋!
DC:这背后的想法是什么? 把它推向市场涉及到什么?
LM: The key driver was our strategy to diversify default liquidity resources and strengthen our financial resiliency. 大家可以想象, quite a bit of work was involved throughout the process, from the conceptual idea through issuing and closing the deal. We needed to introduce ourselves to this market, gauge investor interest and articulate our business case to various constituents. Of course, receiving high credit ratings from the rating agencies was critical to the success.
DC: Were investors concerned that NSCC was accessing the market in these volatile times?
LM: We were asked this and similar questions in the period leading up to the issuance. It was a good question given the timing of this deal, but we were able to provide detailed information to potential investors to have confidence that we are doing this out of a position of strength and executing on a well thought out strategy to grow and diversify our liquidity resources. Once potential investors understood the full picture, we were pleased to see the level of interest in the issuance.
DC: How did you determine the timing of the term note issuance, especially as the world was in the grips of a global crisis?
LM: We initially planned to issue the notes in mid-March but decided to 帖子pone it because of extreme market volatility associated with the COVID-19 pandemic. 随着市场开始企稳, we saw a window of opportunity and decided to go to market on April 16. A high-quality order book quickly built up and became significantly oversubscribed, which was critical for its successful execution. 我们对结果非常满意, 取决于澳门赌场的流动资金需求, market conditions and investor appetite in the future, we’ve set the foundation for raising additional capital in this market.