Already a member? Q&A with Gladys Asogbon,
ELFA Director of Engagement & Regulatory Affairs
“An important challenge facing the leveraged finance market buyside from a regulatory perspective is ESG regulation...We look forward to continuing to engage with regulators on their proposals as they affect the leveraged finance market buyside.”
Q. What are the biggest challenges facing the lev fin buyside from a regulatory perspective?
An important challenge from a regulatory perspective is ESG regulation. The EU Corporate Sustainability Reporting Directive (CSRD) will apply for the first time in the 2024 financial year. In addition, the UK Sustainability Disclosure Requirements (SDR) implementation period will be phased from 31st May 2024 through to 2nd December 2026.
Q. What regulatory consultations has ELFA responded to recently?
We recently responded to the IOSCO’s Consultation Report on proposed Good Practices for Consideration for Leveraged loans and CLOs, the EC’s Targeted Consultation on SFDR, and the FCA’s Consultation Paper on D&I.
We look forward to continuing to engage with regulators on their proposals as they affect the leveraged finance market buyside.
Q. What are the key issues that these consultations raise?
The need for appropriate calibration of impact on various stakeholders and balancing the interests of the various affected market participants features in each of the consultations. This is something that ELFA has commented on for its buyside members.
Q. What is ELFA working on currently in the regulatory space?
We are currently reviewing the FCA’s consultation paper on Improving transparency for bond and derivatives markets from the perspective of the high-yield bond market with a view to submitting a response to the consultation. We also have plans to engage proactively with regulators on key topics of interest to ELFA members.
Q. When did you join ELFA and how are you finding it?
I joined ELFA last September. I am finding it really interesting working with the Initiative Committees and members on the important issues and initiatives relevant to the leveraged finance market buyside.