Ever since policymakers decided to reform LIBOR, bankers have been trying to solve the complex problem of what could replace it. Libor is a benchmark rate produced for Swiss Franc, Euro, Pound Sterling, Japanese Yen and US Dollar instruments with seven maturities quoted for each — ranging from overnight to 12 months, producing 35 rates each business day. The rate is calculated using an out-of-date method where institutions submit their estimate every day and an average value is computed. As regulators have discovered over the past decade, this method has left the rate open to manipulation and banks have been…
The End Of Libor As SOFR Is Introduced
Sign up now and get our in-depth FREE e-books on famous investors like Klarman, Dalio, Schloss, Munger Rupert is a committed value investor and regularly writes and invests following the principles set out by Benjamin Graham. He is the editor and co-owner of Hidden Value Stocks, a quarterly investment newsletter aimed at institutional investors. Rupert owns shares in Berkshire Hathaway. Rupert holds qualifications from the Chartered Institute For Securities & Investment and the CFA Society of the UK. Rupert covers everything value investing for ValueWalk