M&T Bank announced it will transition certain outstanding floating rate and fixed-to-floating rate debt securities, preferred stock and trust preferred securities currently using three-month U.S. dollar LIBOR as the reference rate to CME Term SOFR after June 30.
A research report from SDL, part of RWS Holdings, highlighted the immense pressure that major financial services organizations are under to ensure they are ready to transition away from LIBOR — which underpins approximately $400 trillion worth of contracts — by the end of 2021.
The COVID-19 pandemic has brought the economy to a grinding halt, but the LIBOR transition timeline has not been affected. Colleen Hsia and Zaman Toleafoa of FTI Consulting explain how companies must use effective communication and other strategies to make sure they are still preparing adequately.
The 2012 LIBOR scandal, in which a group of bankers manipulated the global interbank rate, rocked the financial world. LIBOR, long used to establish interest rates on commercial and consumer loans, is scheduled to sunset in 2021. The question “what will replace LIBOR?” has persisted. Oscar Stephens provides an overview of the current situation and offers a preview of SOFR, the top contender for LIBOR’s replacement.
FTI Consulting has launched its LIBOR Transition Task Force to help clients successfully navigate the transition from LIBOR to alternative reference rates before the 2021 deadline.
International Banker reported that August 15, 1969, the opening day of Woodstock, was also the date that LIBOR was created. Now the global benchmark is approaching its final hour, but what will replace it?
As the 2021 end of the LIBOR approaches, banks, accountants and regulatory bodies are still struggling to find a replacement standard that is immune to the same manipulation that brought about LIBOR’s demise, reports Bloomberg Tax.
LIBOR (London Interbank Offered Rate) is attempting to fend off a challenge to its title as the global benchmark for dollar-based assets from SOFR (Secured Overnight Funding Rate). ABF Journal illustrator Jerry Gonzalez shares his vision of the battle.
Reuters reported both the U.S. Federal Reserve and Bank of England urged global financial markets to increase their efforts to replace LIBOR with alternative interest rate benchmarks.
Bloomberg reported that LIBOR is attempting to fend off a challenge to its throne as the global benchmark for dollar-based assets from suddenly scrutinized SOFR.