Reference rate: Difference between revisions
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imported>Doug Williamson (Update link.) |
imported>Doug Williamson (Update for LIBOR transition.) |
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A reference rate is a widely recognised and quoted interest rate - such as the Fed funds rate, the prime rate, or | A reference rate is a widely recognised and quoted interest rate - such as the Fed funds rate, the prime rate, or SONIA - by reference to which a rate of interest is calculated. | ||
For example, in the rate | For example, in the rate ‘SONIA plus 50 basis points’, SONIA is the reference rate. | ||
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*[[OBFR]] | *[[OBFR]] | ||
*[[Official Bank Rate]] | *[[Official Bank Rate]] | ||
*[[SONIA]] | |||
*[[Zero rate provision]] | *[[Zero rate provision]] | ||
[[Category:Accounting,_tax_and_regulation]] | [[Category:Accounting,_tax_and_regulation]] | ||
[[Category:Financial_products_and_markets]] | [[Category:Financial_products_and_markets]] | ||
Revision as of 12:39, 16 February 2022
A reference rate is a widely recognised and quoted interest rate - such as the Fed funds rate, the prime rate, or SONIA - by reference to which a rate of interest is calculated.
For example, in the rate ‘SONIA plus 50 basis points’, SONIA is the reference rate.
