The Loan Syndications and Trading Association has published a set of guidelines for agencies to follow when designing splash pages introductory pages to Web sites that loan participants log onto to participate in loans during syndication. Splash pages typically offer information on accessing the Web site and splash page principles outline how potential investors should access areas of Web sites that contain material non-public information.
Elliot Ganz, general counsel for the LSTA, said the association aims to create consistent guidelines for all participants to follow. "They [the principles] should act as a resource," said Ganz. "When a buyer wants to buy a loan he should know that he can expect certain things to be included on the splash page."
Ganz said the association came up with the idea of developing standards for splash pages a few years ago, but those efforts were put on hold while it developed guidelines on the use of material non-public information. Earlier this year the association felt that guidelines were far enough along for it to take another shot at creating guidelines for splash pages, he said. The LSTA sent out a document containing principles on the use of material non-public information to a buyside working group two weeks ago. A sellside working group is due to meet June 8 to discuss buyside comments and try to agree on final principles.
Among its recommendations are that splash pages should contain an acknowledgement by users that if he or she intends to access private areas of the Web site, these areas may contain non-public information. It also proposes that the user acknowledge his/her institution has developed compliance procedures for the use of material non-public information and will use material in accordance with the law.
The LSTA published an exposure draft of its principles in April and did not receive any comments from the market. The principles are available on the LSTA's Web site.