Market Alpha Advisors, a financial markets advisory firm that specialises in market structure and financial technology, has partnered with RSM US (RSM), a provider of audit, tax and consulting services focused on the middle market, to provide subject matter expertise and technical services related to the cessation of LIBOR to RSM clients.
Market Alpha Advisors, a financial markets advisory firm that specialises in market structure and financial technology, has partnered with RSM US (RSM), a provider of audit, tax and consulting services focused on the middle market, to provide subject matter expertise and technical services related to the cessation of LIBOR to RSM clients.Market Alpha Advisors specialises in helping clients unpack the complex aspects of market structure, which requires understanding the granular details along with an ability to tie data and information to strategic initiatives. Advisory services related to the LIBOR transition is a core focus for Market Alpha and they have helped clients in all aspects of their preparations, including: governance structure; communication strategy; exposure identification; product strategy, contractual remediation; advice on accounting, tax and regulatory matters; and implementation and conversion
“We are very excited to be working with RSM and its LIBOR transition team. With a significant footprint in the United States many of RSM’s clients are in need of support with the demise of LIBOR less than 15 months away,” says Michael Koegler, Managing Principal and Co-Founder of Market Alpha Advisors.
Market Alpha Advisors uses technology and proprietary processes in the identification, classification and remediation of contracts tied to LIBOR. This allows clients to get a handle on the LIBOR fallback exposure embedded in their contracts.
“Asset managers and investors have to realise there is a new risk associated with their floating rate note portfolios – LIBOR fallback risk. It is only a matter of time before deals with inadequate fallback language start losing value,” says Pieter van Vredenburch, Principal and Co-Founder of Market Alpha Advisors.
“The discontinuation of LIBOR at the end of 2021 may seem distant, especially for firms in the throes of dealing with the fallout of the coronavirus pandemic, but this is a pivotal period and firms should start planning now,” says Jim Greisch, national financial services industry leader with RSM US LLP. “Our agreement with Market Alpha Advisors focuses on helping firms assess their LIBOR risk exposure as an initial step to developing a transition plan. Together, we’re prepared to help firms transition away from LIBOR, while effectively managing the associated risks.”