The new “SIFMA Model Bond Purchase Agreement for Negotiated Municipal Securities Underwritings” reflects regulatory changes.
SIFMA officials report that they have updated the SIFMA Model Bond Purchase Agreement for Negotiated Municipal Securities Underwritings, which is intended for use in connection with governmental tax or revenue-supported securities such as fixed, variable rate, auction, and credit enhanced securities.
The SIFMA model agreement “is not intended for use in connection with conduit financing transactions,” SIFMA officials say.
The agreement has two parts — the “Terms and Acceptance” document and the “General Provisions and Conditions” document, officials add.
“We have updated the agreement to reflect changing regulatory and market events, such as language regarding issue price certificates. As always, however, each firm should make their own independent decisions about how they will compete in the marketplace,” says Leslie Norwood, managing director, associate general counsel, and head of municipal securities at SIFMA.
The updated documents are available at the following links:
- Municipal Securities – Model Bond Purchase Agreement: Terms and Acceptance
- Municipal Securities – Model Bond Purchase Agreement: General Provisions and Conditions
SIFMA, the acronym for the Securities Industry and Financial Markets Association, is a trade association for broker-dealers, investment banks, and asset managers operating in the U.S. and global capital markets. SIFMA officials advocate for legislation, regulation, and business policy affecting retail and institutional investors, equity and fixed income markets and related products and services. SIFMA, with offices in New York City and Washington, D.C., is the U.S. regional member of the Global Financial Markets Association (GFMA), officials add.
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