What does BSAG mean in ADVISORY

BSAG stands for Bond Stakeholder Advisory Group. It is a group of stakeholders made up of representatives from issuers, investors, advisors and other industry experts who are involved in providing advice and guidance surrounding the issuance and management of bonds issued by public entities. The purpose of the group is to ensure that the bond market is transparent, efficient and well regulated.

The BSAG provides advice to public entities on all aspects of the bond issuance process including; underwriting, pricing, marketing, financing structures, risk management strategies, legal compliance requirements and post-issuance monitoring guidelines. Additionally, they provide guidance on best practices to ensure successful bond transactions that meet the needs of both issuer and investor alike.

The members of the Bond Stakeholder Advisory Group consists of representatives from issuers (public entities), investors (broker-dealers and institutional investors), advisors (attorneys, financial advisors and consultants) as well as other industry experts in areas such as rating agencies or industry associations.

The Bond Stakeholder Advisory Group provides guidance to public entities throughout the entire bond issuance process including; pre-marketing due diligence review; structuring finance arrangements; evaluating underwriter proposals; setting standards for post-issuance disclosure requirements; developing risk management strategies as well as monitoring guidelines once the bonds have been issued.

Generally speaking, BSAG meets quarterly but depending on the nature of the issue it may be necessary to hold more frequent meetings or workshops in order to develop recommendations or provide detailed analysis on a particular topic or milestone within a transaction timeline.

The topics discussed by BSAG will typically depend on what issues are facing each individual transaction such as pricing strategies, alternative financing structures or compliance matters related to federal regulations affecting municipalities’ ability to access capital markets. Nonetheless, some topics that are generally discussed include best practices regarding disclosure requirements; portfolio diversification tactics for managing risks; regulatory updates impacting municipal debt markets; structuring debt transactions with fiscal stability objectives in mind among many others.

Membership into this advisory group is generally open only to appointed individuals from approved professional organizations representing either current issuers/borrowers or broker-dealer/investors however there may be select positions made available through an open call for resumes which could include representatives from various industry segments such as rating agencies or independent financial advisors specializing in public finance transactions. To find out if there are any open positions available you should contact your local municipality office for details.

Many cities enlist members of their respective advisory boards such as Bond Stakeholder Advisory Groups (BSAGs) when formulating new policy proposals related to municipal bonds/debt transactions being considered by local governing bodies with intentions to update or repeal certain provisions within existing statutes which would affect cities’ access to capital markets directly or indirectly over time. Individuals interested in participating should reach out directly their city offices for additional details about how they can get involved with helping shape their city’s future policies around municipal finance matters.