Register for the Course
This course teaches the purpose and structure of covenants, whether for investor or issuer interests, through the use of tools and real-life examples. Participants learn to recognize the strengths and pitfalls of covenants and how creative drafting can enhance or weaken a covenant’s intent. The course uses Moody’s Investors Service Loan Covenant Quality Assessments (LCQA) to create a structured view of the strengths and weaknesses of a credit agreement.
- Understand the purpose of each of the key leveraged loan covenants.
- Analyze and summarize key covenants with an increased ability to focus on material issues.
- Recognize, describe, and assess restricted payments, investments, and debt incurrence covenants by analyzing their component parts.
- Determine the level of subordination risk inherent in a structure.
- Understand default provisions and the importance of voting rights in protecting lenders.
- Understand how different credit agreements – such as a revolving credit facility and a term loan – relate to one another, and how they may be mutually supportive.
- Analyze covenants individually and as a package to assess the overall quality of investor protection.
- High-yield and leveraged loan fund managers
- Bond analysts
- Leveraged finance lenders, including collateralized loan obligation (CLO) managers
- Investment banking advisors and other finance professionals with an interest in bank documentation