Libor is bad for you. Market participants know it, but lack the willpower to do anything about a reference rate that anchors roughly 60% of over-the-counter interest rate derivatives, so central banks and supervisors are going to help users kick the habit. And they don't care how unpleasant the withdrawal symptoms are.
That, in a nutshell, is the message of a July report prepared for the Financial Stability Board by 21 high-ranking officials from 11 countries – the Official Sector Steering Group
The week on Risk.net, October 6-12, 2017Receive this by email
- Quantile, TriOptima face off in cleared swaps compression battle
- Leaked EU doc could shield legacy swaps from clearing grab
- ABS set for revival under US Treasury’s liquidity buffer plans
- SGX, HKEX expect to be among first wave of Mifid II equivalence
- Industry hails potential US relaxation of margin timing rules