Posted by London trainee Pedro Leake-Bandeira and associate Maria Capocci

The original Bankers Association of Finance and Trade Master Participation Agreement (“BAFT MPA”) was launched in 2008 to enable market participants (with its focus on banking groups) to more easily enter into risk transfer agreements, by providing a standard form document that all participants would grow to know and understand.

At the most recent Sullivan trade finance webinar, Geoff Wynne covered the development of documentation for transferring risk through different forms of participation agreements and considered whether the BAFT MPA is always the best way.