Jul-18 LIBOR Replacement: Watchlist
In June and July, there were continued market developments on the LIBOR replacement/reform front:
- ISDA published a Transition Report. This highlights the need for immediate action by market participants and includes a transition checklist.
- The AARC published Guiding Principles for Fallback Contract Language on new financial contracts. This is a key milestone.
- ISDA supplemented the 2006 Definitions with "USD-SOFR-COMPOUND". This clarifies the SOFR rate reset and fallbacks.
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.