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Aspiring Lawyers - Applications & General Advice
Applications Discussion
TCLA Vacation Scheme Applications Discussion Thread 2024-25
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<blockquote data-quote="Ram Sabaratnam" data-source="post: 191942" data-attributes="member: 36738"><p>Hiya [USER=35586]@Tcvspfo[/USER]</p><p></p><p>I think this could make for a great topic to discuss. While interest rates are easing, this doesn't mean there are no remaining and live issues surrounding private credit. If you're worried that interest rates will make for less of a compelling focus, you could also consider tackling the trend from other angles, including:</p><ol> <li data-xf-list-type="ol"><strong>Regulatory Scrutiny:</strong> You might've heard about the <a href="https://news.bloomberglaw.com/private-equity/private-credit-funds-to-get-first-major-set-of-rules-in-europe?utm_source=chatgpt.com" target="_blank">relatively new </a>EU leverage caps on private credit funds and increased FCA data demands highlight challenges for fund managers and PE clients. Many of the concerns that motivated these regulatory interventions haven't gone away, and you can read about this <a href="https://www.bloomberg.com/news/articles/2024-10-22/top-regulators-call-out-valuation-risks-in-private-credit" target="_blank">here</a> in a more recent Bloomberg article covering the issue of private credit valuations. There's also questions about the general <a href="https://www.fnlondon.com/articles/fca-to-tap-private-markets-managers-for-more-data-1daff4aa?utm_source=chatgpt.com" target="_blank">transparency</a> of the sector, which the UK is now particularly focussed on. Have a think about how this creates opportunities and challenges for firms like Weil to help clients navigate.</li> <li data-xf-list-type="ol"><strong>Market Growth:</strong> There's been increasing involvement of big players like <a href="https://www.reuters.com/business/finance/blackrock-strikes-12-bln-deal-private-credit-firm-hps-investment-2024-12-03/?utm_source=chatgpt.com" target="_blank">BlackRock</a> in private credit. You might want to reflect on the way these moves create competition <a href="https://www.businessinsider.com/private-credit-vets-say-theres-room-for-blackrock-2024-12" target="_blank">pressures</a> and demand for bespoke legal structuring.</li> <li data-xf-list-type="ol"><strong>ESG Pressures:</strong> As with many other forms of financing, private credit providers face growing scrutiny on sustainability practices. There's even been <a href="https://www.fnlondon.com/articles/pemberton-am-should-be-cut-from-esg-scheme-over-fire-and-rehire-plan-says-union-dc23a23c" target="_blank">calls </a>for certain well-known private credit specialists to be removed from initiatives such as the UN-backed Principles for Responsible Investment Scheme. Again, think about how these efforts relate to firms such as Weil and their clients.</li> </ol><p>You could also explore how certain recent high-profile disputes (e.g., <a href="https://www.businessinsider.com/private-credit-vets-say-theres-room-for-blackrock-2024-12" target="_blank">Cerberus</a>) have highlighted the need for strong legal advice. Again, the point just is that private credit remains a live issue for many reasons aside from interest rate fluctuations. I'm sure that [USER=36777]@Andrei Radu[/USER] and [USER=36740]@Amma Usman[/USER] would have much more to add here as well, but I hope this helps you get the ball rolling on your answer.</p></blockquote><p></p>
[QUOTE="Ram Sabaratnam, post: 191942, member: 36738"] Hiya [USER=35586]@Tcvspfo[/USER] I think this could make for a great topic to discuss. While interest rates are easing, this doesn't mean there are no remaining and live issues surrounding private credit. If you're worried that interest rates will make for less of a compelling focus, you could also consider tackling the trend from other angles, including: [LIST=1] [*][B]Regulatory Scrutiny:[/B] You might've heard about the [URL='https://news.bloomberglaw.com/private-equity/private-credit-funds-to-get-first-major-set-of-rules-in-europe?utm_source=chatgpt.com']relatively new [/URL]EU leverage caps on private credit funds and increased FCA data demands highlight challenges for fund managers and PE clients. Many of the concerns that motivated these regulatory interventions haven't gone away, and you can read about this [URL='https://www.bloomberg.com/news/articles/2024-10-22/top-regulators-call-out-valuation-risks-in-private-credit']here[/URL] in a more recent Bloomberg article covering the issue of private credit valuations. There's also questions about the general [URL='https://www.fnlondon.com/articles/fca-to-tap-private-markets-managers-for-more-data-1daff4aa?utm_source=chatgpt.com']transparency[/URL] of the sector, which the UK is now particularly focussed on. Have a think about how this creates opportunities and challenges for firms like Weil to help clients navigate. [*][B]Market Growth:[/B] There's been increasing involvement of big players like [URL='https://www.reuters.com/business/finance/blackrock-strikes-12-bln-deal-private-credit-firm-hps-investment-2024-12-03/?utm_source=chatgpt.com']BlackRock[/URL] in private credit. You might want to reflect on the way these moves create competition [URL='https://www.businessinsider.com/private-credit-vets-say-theres-room-for-blackrock-2024-12']pressures[/URL] and demand for bespoke legal structuring. [*][B]ESG Pressures:[/B] As with many other forms of financing, private credit providers face growing scrutiny on sustainability practices. There's even been [URL='https://www.fnlondon.com/articles/pemberton-am-should-be-cut-from-esg-scheme-over-fire-and-rehire-plan-says-union-dc23a23c']calls [/URL]for certain well-known private credit specialists to be removed from initiatives such as the UN-backed Principles for Responsible Investment Scheme. Again, think about how these efforts relate to firms such as Weil and their clients. [/LIST] You could also explore how certain recent high-profile disputes (e.g., [URL='https://www.businessinsider.com/private-credit-vets-say-theres-room-for-blackrock-2024-12']Cerberus[/URL]) have highlighted the need for strong legal advice. Again, the point just is that private credit remains a live issue for many reasons aside from interest rate fluctuations. I'm sure that [USER=36777]@Andrei Radu[/USER] and [USER=36740]@Amma Usman[/USER] would have much more to add here as well, but I hope this helps you get the ball rolling on your answer. [/QUOTE]
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