Benchmark: Difference between revisions
imported>Doug Williamson (Link with European Money Markets Institute page.) |
imported>Doug Williamson (Expand for transition from LIBOR to alternative risk-free rates.) |
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An officially published rate of interest, from which a rate of interest payable or receivable is calculated. | An officially published rate of interest, from which a rate of interest payable or receivable is calculated. | ||
Historically, for example, LIBOR. | |||
A related rate of interest payable might be LIBOR + 1%. | A related rate of interest payable might be LIBOR + 1%. | ||
''The Financial Stability Board (FSB) recommended in 2014 that stakeholders should identify risk-free rates that might be used as alternatives to LIBOR.'' | |||
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* [[EURIBOR]] | * [[EURIBOR]] | ||
* [[European Money Markets Institute]] | * [[European Money Markets Institute]] | ||
* [[Financial Stability Board]] | |||
* [[LIBOR]] | * [[LIBOR]] | ||
* [[Risk-free rates]] | |||
* [[Spread to Treasury/ Governments]] | * [[Spread to Treasury/ Governments]] | ||
* [[Stakeholder]] | |||
[[Category:Compliance_and_audit]] | [[Category:Compliance_and_audit]] | ||
Revision as of 09:37, 4 February 2018
1.
A measure stated on a standardised basis, to enable comparison.
For example, an effective annual rate.
2.
A quantified standard of performance set by the market (such as stock market index) or by an institutional investor (such as an internally developed benchmark) against which investment performance, or other performance, can be managed and tracked.
3.
A standard of performance including less readily quantified measures, such as satisfaction.
4.
An officially published rate of interest, from which a rate of interest payable or receivable is calculated.
Historically, for example, LIBOR.
A related rate of interest payable might be LIBOR + 1%.
The Financial Stability Board (FSB) recommended in 2014 that stakeholders should identify risk-free rates that might be used as alternatives to LIBOR.
