In unexpected news today, the end of USD LIBOR has been extended to June 30, 2023. The Federal Reserve Board put out a press release today supporting the extension of LIBOR through June 30, 2023.
November 30, 2020
November 05, 2020
FASB Proposes an Accounting Standards Update Expanding Topic 848 (Reference Rate Reform)Respondent comments are due Friday, November 13.
October 26, 2020
The eagerly anticipated ISDA IBOR Fallback Protocol was released on Friday, October 23, 2020. The effective date of the protocol has been set for January 25, 2021. The following is a brief list of questions you may have. Look for more detailed...
October 16, 2020
We always encourage hedgers to consider the economics of a transaction before looking at the accounting. If the economics don’t make sense, it doesn’t matter how favorable the accounting treatment is, it probably isn’t a good idea!
October 12, 2020
The direct impacts of the transition away from LIBOR to the use of an alternative reference rate such as the Secured Overnight Financing Rate (SOFR) have been well publicized. ISDA and ARRC have been releasing regular updates and suggested...
October 07, 2020
As LIBOR gets ready to end, SOFR is set to begin. While the derivatives market had been changing fairly rapidly prior to COVID-19, 2020 market dynamics have not closed the gap between expected and observed market prices. It’s critical that...
August 27, 2020
As many of our readers already know, SOFR (Secured Overnight Financing Rate) has been selected by the Alternative Reference Rates Committee of the Federal Reserve to replace LIBOR in 2021. LIBOR represents the rate member banks borrow from each...
April 07, 2020
In this video, Ruth Hardie, senior director of client services, provides an overview of what you can expect from interest rate swaps given the current large drop in rates.
March 16, 2020
On Sunday afternoon, the Federal Open Market Committee (FOMC) reduced its target rate by 100bps to a range of 0-0.25%. Zero percent interest rates are quickly becoming a reality in the United States. In fact, treasury inflation-protected...