Alternative Programs - LTN Verbiage
BRAZILIAN LTN - Primary Purchase Program
Over the past several years, our SRM LTN Team has evaluated over 100 different sale and/or trade programs for Brazilian LTNs. All but one of those programs has been rejected, primarily due to a requirement to receive a SWIFT from the Central Bank of Brazil (BCB) blocking the instrument in favor of the buyer or trader. As the BCB is not a depository bank, they cannot issue such a block so those programs have never performed.
Recurring events such as inconsistent guidelines from the Central Bank of Brazil (BCB), downgrading of Brazil's government debt by credit-rating agencies, and turmoil in the financial markets related to AML legislation and ongoing BASEL banking requirement revisions have created an LTN environment that has effectively made it extremely difficult for LTN owners to navigate the complex processes required to complete an LTN transaction. Programs have had to restructure themselves, often multiple times. Even the one program which SRM Services has deemed feasible has been forced to restructure itself several times, at great cost, as a result of this everchanging environment.
SRM Services has developed a sizeable audience in Brazil where many owners of LTNs are seeking programs to sell their LTNs. To better serve this special audience, SRM Services offers information in Portuguese versions of its LTN Information and LTN Frequently Asked Questions pages on the following pages - Informações Sobre LTNs Brasileiras and Perguantas Frequentes. For further information on our current LTN services, please review our LTN Information page and our LTN Frequently Asked Questions page or their respective Portuguese versions mentioned above.
Over the past several years, our SRM LTN Team has evaluated over 100 different sale and/or trade programs for Brazilian LTNs. All but one of those programs has been rejected, primarily due to a requirement to receive a SWIFT from the Central Bank of Brazil (BCB) blocking the instrument in favor of the buyer or trader. As the BCB is not a depository bank, they cannot issue such a block so those programs have never performed.
Recurring events such as inconsistent guidelines from the Central Bank of Brazil (BCB), downgrading of Brazil's government debt by credit-rating agencies, and turmoil in the financial markets related to AML legislation and ongoing BASEL banking requirement revisions have created an LTN environment that has effectively made it extremely difficult for LTN owners to navigate the complex processes required to complete an LTN transaction. Programs have had to restructure themselves, often multiple times. Even the one program which SRM Services has deemed feasible has been forced to restructure itself several times, at great cost, as a result of this everchanging environment.
SRM Services has developed a sizeable audience in Brazil where many owners of LTNs are seeking programs to sell their LTNs. To better serve this special audience, SRM Services offers information in Portuguese versions of its LTN Information and LTN Frequently Asked Questions pages on the following pages - Informações Sobre LTNs Brasileiras and Perguantas Frequentes. For further information on our current LTN services, please review our LTN Information page and our LTN Frequently Asked Questions page or their respective Portuguese versions mentioned above.