covid-19

Insider Trading and Geographic Proximity: Evidence from Covid-19

By Erin Henry, George A. Plesko and Caleb Rawson September 1, 2020 by renholding

The COVID-19 pandemic has dramatically changed how businesses operate, resulting in unprecedented stock market effects. While the U.S. stock market has historically shown little to no reaction to an infectious disease outbreak, COVID-19 precipitated a global stock market downturn now …

Wachtell Lipton Discusses Executive Compensation Considerations – Looking Ahead and Staying Nimble

By Jeannemarie O'Brien and Adam J. Shapiro August 25, 2020 by renholding

Unpredictability has dominated the economic climate over the last six months and likely will continue in the months ahead. Companies that swiftly and thoughtfully assess and respond to evolving challenges will most effectively manage through the pandemic. This theme applies …

Fed Governor Brainard Offers an Update on Digital Currencies

By Lael Brainard August 21, 2020 by renholding

It is a pleasure to participate in San Francisco’s Innovation Office Hours. The Federal Reserve Bank of San Francisco is a leader of our engagement with the tech community. And the Federal Reserve’s Innovation Office Hours serve as an important …

Arnold & Porter Discusses Three Things to Know About PPP Fair Lending Scrutiny

By Richard M. Alexander, Michael Mancusi, David F. Freeman, Jr., Kevin M. Toomey and Stephanie G. Nygard August 18, 2020 by renholding

In response to the COVID-19 pandemic, the Consumer Financial Protection Bureau (CFPB) recently announced that it will adjust its supervision program by rescheduling a portion of its planned examination work. Instead, the agency will conduct prioritized assessments, which it describes …

The False Dichotomy of Corporate Governance Platitudes

By Jeffrey M. Lipshaw August 12, 2020 by renholding

Last August, the Business Roundtable (an organization of around 200 corporate CEOs) announced it was amending its Principles of Corporate Governance to eliminate the statement that the “primary purpose” of a corporation was to serve its shareholders.  The CEOs wanted …

COVID-19: Impossible Contracts and Force Majeure

By Andrew A. Schwartz August 11, 2020 by renholding

The COVID-19 pandemic of 2020 – as well as government orders to contain it – have prevented countless people, babysitters to basketball players, from fulfilling their contracts. Are all of these parties legally liable for breaching their contracts? Or …

Skadden Reviews ESG for First Half of 2020

By Scott C. Hopkins, Simon Toms, Adam M. Howard and Patrick Tsitsaros August 10, 2020 by renholding

Interest in the environmental, social and governance (ESG) policies of companies and their impact on the wider community has continued to increase amongst institutional investors, retail shareholders and the media during the first half of 2020. The COVID-19 pandemic and …

SEC’s Division of Investment Management Director Takes Stock and Looks Ahead

By Dalia Blass August 3, 2020 by renholding

Good Morning. Thank you Barry [Barbash] and Paul [Roye] for the kind introduction and thank you and PLI for inviting me to speak again with you. I looked back at my remarks the last time I was with you. Two

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Exequity Discusses S&P 500 Companies’ Use of “Relative Total Shareholder Return”

By Ben Burney July 24, 2020 by renholding

The economic consequences of the COVID-19 pandemic have upended countless budgets for 2020 and rendered long-term forecasts speculative at best. By now, most companies providing financial guidance have withdrawn it. Uncertainty abounds.

All the while, investors, proxy advisors, and other …

Regulations as Automatic Stabilizers During Crises

By Xi Wu July 16, 2020 by renholding

Even in the best of times, corporate leaders gripe about the cost of government regulations. An average hedge fund spends more than 7 percent of its total operating costs on various forms of compliance.^[1] For the banking industry, compliance  …

SEC Chair Clayton Addresses the Financial Stability Oversight Council

By Jay Clayton July 16, 2020 by renholding

Market Functioning and Monitoring

We have continued our efforts to help facilitate the orderly and fair market function, including in coordination with our colleagues at the Federal Reserve and Treasury.[1]

Market activity has remained active in June and thus

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Financial Markets and News About the Coronavirus

By Harry Mamaysky July 14, 2020 by renholding

From its February 2020 peak to a March 2020 trough, the S&P 500 index fell 34 percent.  This fall was accompanied by extreme volatility, at a level last seen during the global financial crisis.  Invariably the selloff was accompanied by …

Paul Weiss Discusses Transition from LIBOR to Alternative Reference Rates by End of 2021

By Mark S. Bergman, Jessica S. Carey, Manuel S. Frey, Brad S. Karp and Jane B. O'Brien July 14, 2020 by renholding

Notwithstanding the impact of COVID-19 on the global economy and market participants, from the perspective of regulators, working groups and industry leaders, the anticipated cessation of the London Interbank Offered Rate (“LIBOR”) remains the end of calendar year 2021.[1]…

Arnold & Porter Discusses Covid-19 and Antitrust, Bankruptcy, and Distressed Sales

By Rosa Evergreen, Michael B. Bernstein and Justin Hedge July 13, 2020 by renholding

The COVID-19 pandemic has created significant financial distress for many businesses and there have been a number of bankruptcy filings recently,[1] with more likely on the horizon. As a result, there is likely to be an increase in acquisitions …

Fed Vice Chair Quarles Speaks on Post-Pandemic Reforms and Too-Big-to-Fail

By Randal K. Quarles July 9, 2020 by renholding

Good afternoon ladies and gentlemen. I would like to thank the Exchequer Club for hosting this event, and I look forward to future events taking us back to the luncheon discussions at the Mayflower Hotel, as has been the club’s

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Wachtell Lipton Offers Thoughts for Boards of Directors in 2020

By Martin Lipton, Steven A. Rosenblum, William Savitt, Karessa L. Cain, Hannah Clark and Bita Assad July 8, 2020 by renholding

The past six months have been marked by a profound upheaval that has accelerated the growing focus on both the purpose of the corporation and the role of the board in overseeing and leading the corporation in ways that promote …

Did Congress Trade Ahead on News of Covid-19?

By John W. Goodell and Toan Luu Duc Huynh July 3, 2020 by renholding

In a new paper,[1] we study the impact on U.S. stock prices of news stories about accusations that several members of Congress traded ahead of private material information about COVID-19. The lawmakers traded stocks during the early stages of …

Cleary Gottlieb Discusses New UK Powers to Intervene in Mergers on Public Interest Grounds

By Nicholas Levy, Paul Gilbert and John Messent July 2, 2020 by renholding

On 22 June 2020, the UK Government introduced new measures allowing it to intervene in merger transactions “to maintain in the United Kingdom the capability to combat, and to mitigate the effects of, public health emergencies.”[1]  The Government will …

The Global Diffusion of Stewardship Codes Post-COVID-19

By Dionysia Katelouzou June 29, 2020 by renholding

The rapid global spread of COVID-19 in the first half of 2020 has had serious repercussions for governments, corporations, and institutional investors. Government responses have largely been fragmented, with each nation prioritizing its own interests and following the science of …

SEC Update on Regulatory Relief During the Pandemic

By Jay Clayton, William Hinman, Dalia Blass and Brett Redfearn June 29, 2020 by renholding

The U.S. Securities and Exchange Commission’s efforts in response to the COVID-19 pandemic are centered, first and foremost, on the health and safety of our employees and all Americans.  The Commission’s recognition of the corresponding need of market participants to

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