LIBOR TRANSITION: ARE YOU READY?
LIBOR
On 27 July 2017, Andrew Bailey, Chief Executive of the UK Financial Conduct Authority, made a speech about the future of LIBOR stating that market participants should not rely on LIBOR being available after 2021. Work is progressing on the transition to alternative near risk-free reference rates in each of the LIBOR currencies. The LMA is working with the market, other trade associations and the regulators on the transition.
LIBOR Transition - counting down to end-2021
Latest News
Swiss RFR National Working Group publishes opinion on the legitimacy of Non-Cumulative Compounded SARON under Swiss law
On 1 April 2021, the National Working Group on Swiss Franc Reference Rates (the NWG) published an expert opinion by Professor Dr. Lukas Glanzmann of Baker McKenzie on the permissibility of using non-cumulative compounded SARON under Swiss law. It is noted that the "Cumulative Compounding Rate" (CCR) method of calculating SARON yields the same interest rate as the "Non-Cumulative Compounding Rate" (NCCR) method. The Swiss sub-working group on syndicated loans shares the view that the NCCR method is a viable option.
LMA Interview: LIBOR transition is here – Asset managers at the ready
On 31 March 2021, we published an interview on the transition from LIBOR to risk-free rates, between Kam Mahil, Senior Director – Legal at the LMA and Christian Schumer, Head of Transformation at Intermediate Capital Group PLC where Christian gives his views on the asset manager approach to LIBOR transition.
In the interview, Christian talks about ICG's approach to its own financing (and its recent rate switch transaction), the impact on loan portfolios, the reaction of borrowers/sponsors, challenges for CLOs and the impact on secondary trading.
LMA publishes updated list of syndicated and bilateral loans referencing risk-free rates
On 30 March 2021, we published an updated version of
the list setting out RFR-referencing loans publicly disclosed to date. The
update reflects new RFR and rate switch transactions for: INPP, Cross Keys
Homes, Miton UK MicroCap Trust Plc, Green Data Center AG, Indian Oil
Corporation Ltd and Sembcorp Marine Financial Services Pte Ltd.
The list is not comprehensive of all loan market transactions referencing RFRs
given the private nature of the loan market. Sharing of experiences is key to the transition. Please contact Kam Mahil to submit
a transaction to the list.
Video Content
Swiss Loan Market Update
This webinar covers a wider loan market update and includes a discussion on LIBOR.
An introduction to the LMA Exposure Drafts of Multicurrency Compounded Rate/Term Rate Facilities Agreements - On Demand
Press: Do Not Quote Speakers Without Seeking Authorisation First.
LMA webinar update on the transition from LIBOR in the loan market
Helping to make a difference: Tesco's £2.5bn sustainability and RFR-linked syndicated RCF
LIBOR transition: REF sector-specific considerations
An introduction to the LMA Exposure Drafts of Rate Switch Facility Agreements
The transition from IBORs to risk-free rates – Impact on the export finance market
LIBOR: the final countdown
From the LMA Syndicated Loans virtual conference (22-23 September 2020).
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View all our other LIBOR content on LMA Player
