Tech advancements are transforming infrastructure opportunities in project finance.Funding for infrastructure assets has shifted with less coming from commercial banks and more capital coming institutional investors.Technology is impacting infrastructure with the telecom industry moving from 4g to 5g, causing a larger demand for location-specific data centers.An abundance of capital allows independent third-party trustees the opportunity to partner with many sources.
As 2021 fast approaches, the burning question of what indices will replace LIBOR (London Interbank Offered Rate) comes to the forefront. LIBOR scandals have caused the creation of alternative indices options. The impact to the Asset-Backed Securities (ABS) market could be significant as there are billions of dollars of residential mortgage loans in the U.S. that are tied to LIBOR.
Trustees are a vital component of reinsurance, and choosing the right one can be the difference between a smooth experience and a sticky one. The true cost of a trust is defined by more than the dollars, and the time you spend as a grantor or a beneficiary of a reinsurance trust must also be considered. Some trustees understand the nature of the reinsurance trust business better than others.