Updates to LIBOR Replacement: Watchlist
In February, there were a few new developments on the LIBOR replacement/reform front:
- The FASB proposed Accounting Standard Updates to allow SOFR to be used as a benchmark rate
- The EMMI has decided to stop pursuing EONIA as a valid alternative rate
- The Fed announced the publication of the proposed LIBOR alternative rate, SOFR, will begin on April 3, 2018.
- The Fed's ARRC announced it will be reconstituted in 2018 to "more directly facilitate issues of legacy contract robustness and transition for cash products as well as derivatives."
We've updated our handy watchlist with all the latest: WATCHLIST: Replacing LIBOR.
About Principia Partners
Principia Partners LLC (Principia) provides solutions for derivative and structured finance operations. Global financial institutions and independent asset managers have used the award-winning Principia Structured Finance Platform since 1995 to unify investment analysis, portfolio management, risk surveillance, accounting and operational control across the breadth of structured credit assets, fixed income investments and complex derivatives. In 2015, Principia launched its Analytic Service, pasVal, to make its award-winning pricing and analytics available to an even broader range of businesses.
Principia is based in New York, with an office in London and a technology center in King of Prussia, Pennsylvania.