Evading Regulatory, Tax, Accounting, Covenant and Credit Rating Rules
eBook - PDF

Evading Regulatory, Tax, Accounting, Covenant and Credit Rating Rules

  1. 174 pages
  2. English
  3. PDF
  4. Available on iOS & Android
eBook - PDF

Evading Regulatory, Tax, Accounting, Covenant and Credit Rating Rules

About this book

Businesses often face criticism for engaging in financial activities with no genuine business purpose other than to minimise taxes or enhance financial statements. Opponents of financial engineering highlight notorious cases like WorldCom, Enron, and Long-Term Capital Management, where accounting abuses and aggressive tax avoidance strategies created significant public backlash. For many critics, any financial structure that reduces taxes, bypasses regulations, or artificially inflates financial metrics is inherently suspect and deserving of condemnation. Rule Arbitrage challenges that view, arguing that a subset of these financial transactions, often criticised as rule arbitrage, can be legitimate, providing real benefits while staying within the bounds of both legal language and legislative intent.

Through clear explanations and 20 detailed case studies, Oussama A. Nasr defends these structures, showing they can achieve legitimate tax savings, regulatory relief, or other business advantages without violating the spirit of the rules they operate within. Written in accessible language, the book covers a range of financial topics including senior/subordinated debt, prepaid forwards, collateralized loan obligations, and credit default swaps.

Designed to educate both casual readers and finance experts alike, Nasr provides insight into how these structures work, addressing objections, and demonstrating why many of these transactions are deserving of respect rather than condemnation. With an eye toward both practical application and regulatory context, this work offers a balanced perspective on the complex world of rule arbitrage.

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Yes, you can access Evading Regulatory, Tax, Accounting, Covenant and Credit Rating Rules by Oussama A. Nasr in PDF and/or ePUB format, as well as other popular books in Business & Accounting. We have over one million books available in our catalogue for you to explore.

Information

Publisher
Emerald Publishing Limited
Year
2026
Print ISBN
9781805926108
eBook ISBN
9781805926092
Topic
Business
Subtopic
Accounting
Index
Business

Table of contents

  1. Half Title Page
  2. Title Page
  3. Copyright Page
  4. Dedication Page
  5. Contents
  6. About the Author
  7. Preface
  8. Acknowledgments
  9. Introduction
  10. Chapter 1: Credit Ratings and Regulatory Arbitrage: AAA-rated Hedge Fund Investments
  11. Chapter 2: Credit Ratings and Regulatory Arbitrage: Senior/subordinated Transactions
  12. Chapter 3: Accounting and Covenant Arbitrage: Prepaid Forward
  13. Chapter 4: Accounting Arbitrage: Total Return Swaps on Equity Investments
  14. Chapter 5: Accounting Arbitrage: Total Return Swaps on Own Equity
  15. Chapter 6: Regulatory Arbitrage: Balance Sheet Synthetic CLO
  16. Chapter 7: Covenant Arbitrage: Circumventing No Refinancing Covenants
  17. Chapter 8: Covenant Arbitrage: Synthetic Dumping
  18. Chapter 9: Accounting Arbitrage: The Michelangelo Swap
  19. Chapter 10: Tax and Accounting Arbitrage: SPAMS
  20. Chapter 11: Reputation Arbitrage: Lebanon’s Riskless Bond
  21. Chapter 12: Tax Arbitrage: Universities as Conduits
  22. Chapter 13: Tax Arbitrage: Reducing Taxes on Securities Trading
  23. Chapter 14: Tax, Regulatory, and Credit Rating Arbitrage: Bank Hybrid Capital
  24. Chapter 15: Leveraged Investments
  25. Chapter 16: Accounting and Credit Ratings Arbitrage: Forward Equity Purchase
  26. Chapter 17: Covenant Arbitrage: Leveraged Inverse Floaters and Orange County
  27. Chapter 18: Covenant and Regulatory Arbitrage: Creating “Phantom” Claims Against the Borrower
  28. Chapter 19: Tax Arbitrage: Weak Currency Debt Structures
  29. Chapter 20: Credit Ratings Arbitrage: AAA-rated Swap Dealers
  30. Appendix 1: Credit Ratings
  31. Appendix 2: Credit Default Swaps
  32. Appendix 3: Basel-based Capital Regulation
  33. Appendix 4: The Capital Asset Pricing Model
  34. Appendix 5: Cross-currency Swaps
  35. Appendix 6: Interest Rate Swaps
  36. Appendix 7: Mark-to-market
  37. Glossary