Overview
Navigating Derivatives with Confidence
In today’s fast-moving financial markets, derivatives play a critical role in managing risk and driving growth. Michael Best advises dealers, banks, investors, and end users on a full range of derivative products throughout the entire derivatives lifecycle. Our team provides comprehensive support for regulatory compliance, transaction documentation, and enforcement, serving as primary outside counsel to national, regional, and community banks, as well as asset managers, hedge funds, family offices, and other market participants.
Our Approach: Turning Market Complexity into Solutions
We believe that effective derivatives counsel means empowering clients to make informed decisions and stay ahead of change. Our attorneys work side-by-side with financial institutions and investors, tailoring solutions to each client’s goals and risk profile. We combine technical skill with clear communication, helping clients navigate regulatory shifts, negotiate complex agreements, and implement best practices for long-term success.
We also provide in-house training and webinars to keep clients informed on regulatory developments and industry best practices—ensuring you’re equipped for today’s challenges and tomorrow’s opportunities.
“The Michael Best team provides a broad range of experience, efficiency and industry insights.”
"Michael Best couples its terrific knowledge with direct and quick access to senior partners."
Focus Areas
Driving Value in a Dynamic Market
We serve as primary outside counsel to national, regional, and community banks throughout the United States for their derivatives product lines, including counsel on customer documentation and Dodd-Frank compliance.
Efficiently and cost-effectively, we prepare and negotiate International Swaps and Derivatives Association (ISDA) documents for our clients’ interest rate portfolios. We work with loan counsel to ensure that the swap obligations are secured by the loan collateral and that loan documents do not interfere with ISDA document mechanics. In addition, we work with our clients’ upstream dealers on its back-to-back trades, including negotiating the ISDA Master Agreement, Schedule, and Credit Support Annex. Our team also helps local and regional banks establish flexible treasury risk management tools with Master Securities Forward Trading Agreements (MSFTAs) and Master Repurchase Agreements (MRAs).
We also provide guidance on the evolving regulatory issues facing our bank clients, such as compliance with rules on the conduct of swap dealers, eligible contract participants, clearing, swap execution facilities, recordkeeping and reporting requirements, posting of collateral and the municipal advisor rules. We provide in-house training and webinars on these and other derivatives-related topics.
Our team provides comprehensive legal and business risk guidance to traders and investors in derivatives and financial products. From startups to multi-billion-dollar managers, we advise hedge funds, proprietary traders, family offices, ERISA fiduciaries and funds, and registered investment advisors, helping them manage portfolio finance risk on a wide array of investment product agreements, including:
- Prime Brokerage Agreements
- Margin Financing Lockups
- ISDA Master Agreements
- Equity Swaps and Master Confirmations
- Structured Derivatives Transactions
- Futures and Options Agreements
- Master Repurchase Agreements
- Securities Lending Agreements
