Libor webinars: loans, bonds and derivatives

Listen here to three Risk.net webinars, covering topics from transition timelines to market turmoil

The next 12 months will determine how rates markets cope with the death of Libor.

With transition efforts now entering their critical phase, Risk.net’s editorial team is running a series of quarterly webinars, breaking down the issues facing the market, tracking the progress made and highlighting the remaining questions. This quarter’s trio of webinars is now available for subscribers at the links below.

In the first webinar on March 24, which focused on loan markets, panellists from McKinsey, the LSTA and UBS discussed the end-2021 transition target – and interim deadlines – which some market participants would like to see extended. The panel also covered the choice of benchmark, alternative rates and the methodology for spread adjustments.

The bond markets were the subject of the second webinar, on March 25. Panellists from Lloyds, RBC Capital Markets and TD Securities discussed attempts to standardise conventions in developing Sonia and SOFR new issue markets, the challenge of shifting legacy stock off Libor and the impact of recent market turbulence on new RFR issuance.

The final webinar, on March 26, turned the spotlight on derivatives markets. Panellists from Deutsche Bank, LCH, Numerix and Tradeweb shared their views on whether the transition timeline should be extended, given the vast workload associated with Covid-19 continuity efforts, before moving on to the volatility that has followed the spread of the virus.

This year’s planned changes to discounting rates for cleared derivatives – the first switches are due in June – are also covered, eliciting some sharp audience questions. Pre-cessation is briefly mentioned at the end of the session.