How do you track Public Finance Material Event Disclosures?

Posted by Peter Orr on Mar 01, 2011


With all the Meredith Whitney press and its derivatives (puniStock magnifier on financials small intended), I wondered what public finance bankers, advisors, issuers, and investors do to keep track of the impending flood of material event notices that seemingly half the world thinks are coming down the pike. After all, you've got these required notifications per SEC rule 15c2-12 on munis:

  • Principal/Interest payment delinquency
  • Non-payment related default
  • Unscheduled draw on debt service reserve reflecting financial difficulties
  • Unscheduled draw on credit enhancement reflecting financial difficulties
  • Substitution of credit or liquidity provider, or its failure to perform
  • Adverse tax opinion or event affecting the tax-exempt status of the security
  • Modification to the rights of security holders
  • Bond call
  • Defeasance
  • Release, substitution or sale of property securing repayment of the security
  • Ratings Change
  • Annual Financial Information & Operating Data
  • Annual Financial Statements or CAFR 
  • Failure to provide annual financial information as required

These are all posted on EMMA, though it's pricey as a subscription service for $45k/year. Do people have an automated system for tracking events for the issuers/investments you care about? 

We think one should exist...