Global Banking Committee to Vote on Replacing USD LIBOR

Posted by on Jun 28, 2017 in LIBOR, Recent News and Blog, Swaps | No Comments

After the 2008 financial crisis and the LIBOR-rigging scandal that plagued the financial markets, a committee of global banks is considering replacing LIBOR as the benchmark index for derivatives and corporate lending.  The two front runners for the replacement index are the Overnight Bank Funding Rate and Treasury repo rates.  If the act gains favor and momentum, it is likely to take quite some time to actually take effect.  You can read about some of the potential implications in a June 20th article by Reuters.

 

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