In light of the current market conditions, the Asset Management Group (“AMG”) of SIFMA will distribute a Daily Report which highlights important industry initiatives relevant to the business activities of asset managers. Please contact Douglas Taggart at dtaggart@sifma.org if you would like to add a colleague to this distribution list.
Bush Speaks on Economy and Markets
".Over the past few days, we have witnessed a startling drop in the stock market -- much of it driven by uncertainty and fear. This has been a deeply unsettling period for the American people. Many of our citizens have serious concerns about their retirement accounts, their investments, and their economic well-being.
Here's what the American people need to know: that the United States government is acting; we will continue to act to resolve this crisis and restore stability to our markets. We are a prosperous nation with immense resources and a wide range of tools at our disposal. We're using these tools aggressively."
Lehman Bankruptcy Situation: AMG Is Clearinghouse for Industry-wide Buy Side Questions
The Asset Management Group conducted a call-in today concerning the latest developments on the above matter in the U.S. and in Europe. Please click on the link below to listen to an audio replay of this 40 minute call, including questions that were raised by various industry participants.
Click here to Listen to an Audio Replay
The AMG looks forward to assisting its members who may continue to have questions regarding protocols established by the Lehman SIPC Trustee or other industry-wide operational matters. In this regard, we would welcome your inquiries. Pleaase contact Douglas Taggart dtaggart@sifma.org or Elisa Nuottajarvi enuottajarvi@sifma.org of the AMG staff at 212-313-1000.
Specified Trades Protocol 08-02
(Schedules A, B, C Attached)
Protocol 08-02 relates to terminating certain specified and allocated trades done with Lehman Brothers in connection with mortgage-backed securities, which are known as "pool" trades. A SIPC Trustee was appointed with respect to the liquidation of Lehman Brothers on 9/19/08. The SIPC trustee issued a statement on September 26, 2008 which states, "Counterparties with securities and commodity transactions with Lehman Brothers Inc. may close them out and submit claims to the Trustee."
Click here to download Protocol 08-02
Click here to download Schedules A, B & C
This Protocol, which applies to non-FICC MBSD members, addresses the process for terminating such outstanding trades that were effected by asset managers with Lehman Brothers. The SIPC Trustee has cooperated in the development and has approved this industry Protocol. SIFMA appreciates the assistance and cooperation of its members, especially the input of members of the Association's Asset Management Group, with respect to the process of identifying the essential components of Protocol 08-02. Although SIFMA may not provide legal advice, questions concerning the implementation of Protocol 08-02 may be directed to Douglas Taggart, Manager, Asset Management Group of SIFMA, at 212-313-1173 or dtaggart@sifma.org.
This Protocol is voluntary and non-FICC MBSD member firms are not required to follow this Protocol. This Protocol is only intended to provide a uniform process for resolving the specified trades and does not modify any existing right or obligation under any preexisting contracts. Firms should seek advice of counsel with respect to their rights or obligations in connection with the specified trades.
Important Publications:
SIFMA SmartBrief (past five issues)
SIFMA Regulatory Update
SIFMA Washington Weekly