-Overview
The Advanced Bond Finance Course is designed for professionals who already have an understanding of tax-exempt financing and seek detailed instruction on complex financing techniques. Expert speakers will explore topics including the application of financial derivatives, advance refundings, investing bond proceeds, and how to spot arbitrage issues. This course is an ideal opportunity to enhance your knowledge and maximize your community's ability to finance economic development using tax-exempt bonds.
For professionals who are interested in learning the basics of bonds, CDFA offers an Intro Bond Finance Course which will take place on _______.
This course will qualify for the CDFA Training Institute's Development Finance Certified Professional (DFCP) Program. Start down the road to personal and professional advancement today.
Course Objectives
- Understand trends and forces impacting today's volatile bond market
- Examine key principles of interest rate swaps, when to consider them, and the risks and benefits associated with swaps
- Discover best practices for negotiating professional fees in a bond transaction
- Learn about investing bond proceeds, spotting arbitrage issues, calculating yield, and advance refundings
- Hear from representatives at the IRS and MSRB about current regulatory matters in the bond markets
- Discuss various forms of credit enhancement and the availability of this form of financing given current market conditions
- Hear expert panelists explain common challenges in bond transactions and how to overcome them
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Topics Covered
- IRS and financial markets update
- Interest rate swaps
- Arbitrage and rebate concepts
- Advanced refundings
- Credit enhancement techniques
- MSRB rules and disclosure requirements
- Investing bond proceeds
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Who Should Attend?
- Bond Issuers
- Economic Development Professionals
- Community Development Professionals
- Brokers/Dealers and Underwriters
- Elected Officials
- Government and Nonprofit Finance Officers
- Corporate Trustees
- Legal Counsel
- Underwriters
- Commercial Bankers
- Accountants
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Course Advisor
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Katie Kramer
Ohio Statewide Development Corporation
Executive Director
Katie Kramer is a Vice President at the Council of Development Finance Agencies and has been with CDFA since 2005. She is an accomplished non-profit executive with expertise in fundraising, grant writing, operations, and building organizational ... capacity. In her role at CDFA, she leads Government & External Affairs, provides technical assistance to communities, and builds strategic partnerships with foundations, federal agencies, and other industry non-profits to grow the professional acumen of CDFA members and the development finance industry at-large.
Ms. Kramer interacts with thousands of development finance practitioners each year, guiding them through their professional development and understanding of the diversity of development finance programs. She has developed numerous courses in the CDFA Training Institute, edited several CDFA publications, and designed marketing and communications collateral for the association. Her writing has been featured in publications and reports on development finance, including those commissioned by The Kresge Foundation, W.K. Kellogg Foundation, World Bank, U.S. Economic Development Administration, U.S. Department of Energy, and U.S. Department of Agriculture. She regularly speaks about development finance at national and local conferences and is a guest lecturer at The Ohio State University.
Previously, Ms. Kramer served as CDFA’s Director of Education & Programs and Development Director. Before joining CDFA, Ms. Kramer worked in the Assessment Division at Ballard & Tighe, Publishers as Project Coordinator where she managed projects involved with the development of standardized language tests. Prior to Ballard & Tighe, Ms. Kramer was employed by Scripps College as Assistant Director of the Annual Fund where she organized fundraising campaigns for alumnae, parents, and students.
She studied art history at Scripps College and holds a BA in English with honors from Cleveland State University. Ms. Kramer is President of the Board for the Ohio Statewide Development Corporation and serves on the advisory board for Eldon & Elsie Ward Family YMCA. (More)
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-Agenda
Day 1
12:00 PM - 12:15 PM |
Welcome & Overview
Welcome to the course! This session will introduce CDFA, explain how to use the online software, and discuss the framework for the two-day Advanced Bond Finance WebCourse
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12:15 PM - 1:15 PM |
Market Update
The training course will begin with an update on market conditions during a time of exceptional volatility in the capital and municipal markets. We will explain the challenges issuers are facing and other forces affecting the bond markets.
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1:15 PM - 2:00 PM |
Who Buys Bonds?
An entire world of investors exists outside of the private placement option. This session will look at the variety of buyers participating in the bond markets, including mutual and pension funds, insurance companies, and institutional investors. Speakers will discuss how market forces affect investors’ choices and how to engage investors in a deal.
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2:00 PM - 2:15 PM |
Break
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2:15 PM - 3:15 PM |
Credit Enhancement
In the past, over 60% of tax-exempt bonds were issued with some form of credit enhancement. Since 2008, this percentage has declined dramatically, yet some forms of credit enhancement are still viable. This session reviews forms of credit enhancement other than letters of credit, including senior and subordinate bond structures, bond insurance, and state credit enhancement programs.
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3:15 PM - 4:00 PM |
Refundings
This session explains how advance refundings work and why issuers utilize them. Material covered includes: general prohibitions, limitations, and how the arbitrage rules apply. Speakers will review several case studies to illustrate the material.
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4:00 PM - 5:00 PM |
Regulatory Update
This session will discuss the role of the Internal Revenue Service and the Municipal Securities Rulemaking Board with particular attention paid to regulations that are most critical to issuers in the bond financing process.
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5:00 PM |
Adjourn
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Day 2
12:00 PM - 12:15 PM |
Revisiting Day 1
The second day of the course will begin with a review of key takeaways and lessons learned from Day 1 and the agenda for the second half of the course.
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12:15 PM - 1:45 PM |
Leveraging Resources
An issuing authority has the ability to do more than issue bonds. This session will look at creative ways to leverage authorities by developing special loan programs, creating new bond funds, or providing guarantees. Speakers will discuss the essential rules for investing bonds proceeds including rating agency requirements and potential arbitrage restrictions.
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1:45 PM - 2:30 PM |
Arbitrage, Rebate & Calculating Yield
Understanding arbitrage and rebate is a necessary component of the bond financing process. During this session, basic tax restrictions on arbitrage will be explained, as well as adjustments for guarantee fees and adjustments for payments and swaps. This session will also cover rules associated with rebate, how to calculate yield, and other considerations for fixed rate and variable rate issuances.
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2:30 PM - 2:45 PM |
Break
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2:45 PM - 3:45 PM |
Negotiating Professional Fees
The key to negotiating fees paid to bond professionals is to make their selection as competitive as possible. This session will discuss how to select the most competent and qualified professionals, including bond counsels, underwriters, placement agents, financial advisors, and trustees.
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3:45 PM - 5:00 PM |
Interest Rate Swaps
The key principles of interest rate swaps are the focus of this session. The speakers will explain common types of swaps, why issuers consider swaps, the risks involved, and pricing and financial benefits. Case studies of various interest rate swap structures will also be presented.
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5:00 PM |
Adjourn
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-Location
The Advanced Bond Finance Course will take place on Zoom. The course will meet each day on ______ from 12:00-5:00 PM Eastern. Attendees must have access to a computer and the internet to attend the Course.
-Registration
This training course qualifies for the CDFA Training Institute's
Development Finance Certified Professional (DFCP) Program. Start down the road to personal and professional advancement today.
Scholarships are available to attend this event. Learn more about the
CDFA Scholarship Program,
and submit your application today.
CDFA permits only one person to log in and participate in the course. If multiple people are accessing the course without paying to attend, we will terminate the connection and access. CDFA offers group discounts for organizations that wish to register multiple people.
Register before _____ for Early-Bird Rates.
CDFA Member: $550
Non-Member: $825
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CDFA Member: $600
Non-Member: $875
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