Swaps users shun cash compensation in LCH Libor switch

Tweet
Facebook
LinkedIn
Save this article
Send to
Print this page

Swaps users have rejected a proposal from LCH to pay cash compensation to those who lose out when Libor-referencing swaps are converted to reference their corresponding risk-free rates (RFRs), opting instead for a spread adjustment on the floating leg.

Members were consulted about LCH’s plans to automatically switch Libor-linked swaps to directly reference compounded-in-arrears versions of their respective RFRs when the benchmark ends, with the winners from the change compensating the losers

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to print this content. Please contact [email protected] to find out more.

You are currently unable to copy this content. Please contact [email protected] to find out more.

You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/

If you would like to purchase additional rights please email [email protected]

You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/

If you would like to purchase additional rights please email [email protected]