Near risk-free rates and Parliament: Difference between pages

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imported>Doug Williamson
(Create page. Source: ACT Briefing Note, Transition to Risk Free Rate Benchmarks, October 2018.)
 
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''Interest rate benchmarks''.
1. ''Constitutional law.''


(RFR).
A law-making representative body for a country or other political entity.


In the context of interest rate benchmarks, 'near risk-free rates' include SOFR (the Secured Overnight Financing Rate) and SONIA.
Also known as a ''legislature''.


The Financial Stability Board (FSB) recommended in 2014 that stakeholders should identify near risk-free rates that might be used as alternatives to LIBOR.


2. ''Other organisations.''


They are also known more simply as risk-free rates, although strictly they are not entirely risk-free.
Similar decision-making bodies for other organisations.


 
With substantially lesser powers of course.
====Capital asset pricing model====
 
RFRs should not be confused with the theoretically risk free rate of investment return, used in the Capital asset pricing model.




== See also ==
== See also ==
* [[Benchmark]]
* [[European Parliament]]
* [[Capital asset pricing model]]
* [[House of Commons]]
* [[Credit spread ]]
* [[Legislation]]
* [[Financial Stability Board]]
* [[Parliamentary supremacy]]
* [[Gilts]]
* [[Primary legislation]]
* [[Interest rate risk]]
* [[Regulation]]
* [[LIBOR]]
* [[Secondary legislation]]
* [[Risk-free rate of return]]
* [[Statutory instrument]]
* [[SOFR]]
* [[SONIA]]


[[Category:Financial_products_and_markets]]
[[Category:Accounting,_tax_and_regulation]]
[[Category:The_business_context]]

Revision as of 12:32, 10 August 2021

1. Constitutional law.

A law-making representative body for a country or other political entity.

Also known as a legislature.


2. Other organisations.

Similar decision-making bodies for other organisations.

With substantially lesser powers of course.


See also