EURIBOR and Private placement: Difference between pages

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(Euro Interbank Offered Rate).
This is a form of securities issuance that has no exact definition.


Sponsored by the European Money Markets Institute ([https://www.emmi-benchmarks.eu/ EMMI]), EURIBOR® is a formal benchmark or reference interest rate launched in 1998.
It usually refers to an issue that has been designed for a specific set of investor needs at a particular time.   


It estimates the all-in, simple interest rate (including credit premium and liquidity premium) at which euro denominated interbank term deposits for spot value (T+2) are offered within the euro-zone by one prime bank to another prime bank in the period before 10.45 [[CET]] each business morning.
As such it is not expected to be traded in the secondary market and is not a 'public' issue.   
   
EURIBOR is calculated for periods ranging from one day to one year. It is quoted to three decimal places and on an actual/360 day-count.


It is not normally expected to be listed on an exchange.


Also written 'Euribor'.
A wide variety of securities under various names are private placements. In Germany, [[Schuldschein]] are a form of private placements, for example.




EMMI continuously reviews the basis of EURIBOR, striving to improve it.
== See also ==
 
* [[Issue]]
 
* [[Placement]]
==Contributing rate estimates==
* [[Rule 144A]]
 
* [[Secondary market]]
Since September 2013, the panel of banks contributing to Euribor is made up of 32 banks though it has been larger in the past.
* [[Security]]
 
The banks submit their estimate, to two decimal places, of the rate "at which euro interbank term deposits are being offered within the Eurozone by one prime bank to another at 11 am Brussels time" ("the best price between the best banks").
 
This is similar to the question for [[LIBOR]] contributing banks prior to reform of LIBOR in 1998 to improve accountability of contributing banks for the submitted rate.
 
EMMI publishes a [http://www.euribor-ebf.eu/assets/files/Euribor_code_conduct.pdf code of conduct] for contributing banks.




==Euribor calculation==
== ACT Website links ==


In calculating the Euribor from the submitted rates, the highest and lowest 15% of submitted rates are ignored and the central 70% remaining is averaged and published to 3 decimal places.
[http://www.treasurers.org/blogs/ceo/201307 Hot money just got hotter...then evaporated, Colin Tyler, 5 July 2013]
 
Thomson Reuters is the screen service provider responsible for computing and also publishing Euribor.
 
The Euribor process is overseen by a [http://www.euribor-ebf.eu/euribor-org/steering-committee.html Steering Committee].
 
 
 
 
 
== See also ==
* [[Benchmark]]
* [[EONIA]]
* [[Euro LIBOR]]
* [[European Money Markets Institute]]
* [[InterBank Offered Rate]]
* [[LIBOR]]
* [[TIBOR]]


[[Category:Manage_risks]]
[http://www.treasurers.org/node/8624 Developing a UK Private Placement market – report of the PP15+ working group]

Revision as of 14:37, 1 October 2013

This is a form of securities issuance that has no exact definition.

It usually refers to an issue that has been designed for a specific set of investor needs at a particular time.

As such it is not expected to be traded in the secondary market and is not a 'public' issue.

It is not normally expected to be listed on an exchange.

A wide variety of securities under various names are private placements. In Germany, Schuldschein are a form of private placements, for example.


See also


ACT Website links

Hot money just got hotter...then evaporated, Colin Tyler, 5 July 2013

Developing a UK Private Placement market – report of the PP15+ working group

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