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Advanced Debt Capital Markets and Securitisation - LAWS8027
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Faculty: Faculty of Law
 
 
School:  Faculty of Law
 
 
Course Outline: See below
 
 
Campus: Kensington Campus
 
 
Career: Postgraduate
 
 
Units of Credit: 6
 
 
EFTSL: 0.12500 (more info)
 
 
Indicative Contact Hours per Week: 2
 
 
Enrolment Requirements:
 
 
Must be enrolled in Program 9200, 9210, 5740, 9230, 9270 or 5272
 
 
Excluded: JURD7427
 
 
Fee Band: 3 (more info)
 
 
Further Information: See Class Timetable
 
 

Description

Over the past 15 years one of the most significant developments in the Australian financial markets has been the growth of the private (as opposed to government or semi-government) debt capital markets. From a very low base in the early 1990s, the Australian debt capital market has grown, largely through the growth in securitisation, to have over $250 billion in outstanding instruments. Then, beginning in late 2007, the debt capital markets both abroad and in Australia froze precipitating a global financial crisis and, it appears, a world recession.

This course examines the nature of the debt capital markets and their regulation, the causes of the global financial crisis and proposals for further or changed regulation that have arisen from the crisis.


LLM Specialisations

Corporate and Commercial Law; Corporate, Commercial and Taxation Law.

Recommended Prior Knowledge

None

Course Objectives

A candidate who has successfully completed the subject should have:
  • Acquired expansive and comprehensive knowledge of the debt capital markets (how they operate and are regulated, particularly in Australia but also in other areas around the world; the interaction of tax and stamp duty law with debt capital markets issues; the role of rating agencies in a capital markets issue; and the variety of structured capital markets products available)
  • Improved their problem solving skills by completing the take-home exam
  • Improved their ability to analyse and think critically by completing both pieces of assessment
  • Improved their written communication skills by completing the final take home exam
  • Improved their oral communication skills by participating in class discussions where the seminars allow

Main Topics

The course will cover the following:
  • What debt capital markets are
  • Disclosure regimes for retail and wholesale debt instruments in Australia
  • What derivatives are
  • Prudential regulation of authorised deposit taking institutions in Australia and offshore
  • Traditional securitisations
  • Credit default swaps and their use in synthetic securitisation structures
  • Tax and stamp duty charges on debt instruments
  • Insolvency issues as they apply to insolvent issuers of debt instruments
  • Credit ratings as they apply to debt instruments
  • The purpose, nature and operation of hybrids, conduits, structured investment vehicles and covered bonds
  • Clearing houses
  • The history of the global financial crisis and the Government's response
  • Whether more or better regulation is required for the debt capital markets

Assessment

Class participation Compulsory presentation (10%) and participation in class (10%) 20%
Take home exam End of session 80%
 

Course Texts

Prescribed
Course materials have been prepared and are available for students from the UNSW Bookshop.
Recommended
None.

Resources

Please refer to course outline.

URL for this page:

© The University of New South Wales (CRICOS Provider No.: 00098G), 2004-2011. The information contained in this Handbook is indicative only. While every effort is made to keep this information up-to-date, the University reserves the right to discontinue or vary arrangements, programs and courses at any time without notice and at its discretion. While the University will try to avoid or minimise any inconvenience, changes may also be made to programs, courses and staff after enrolment. The University may also set limits on the number of students in a course.