imported>Doug Williamson |
imported>Administrator |
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| (Euro Interbank Offered Rate). | | (ER). |
| | A senior management peformance measure which is based on the excess of the Actual wealth enjoyed by shareholders over the Expected wealth required by shareholders. |
| | The Actual wealth of the shareholders is calculated from the market share price and the amounts and timing of cash dividends paid out to the shareholders. |
| | The Required wealth of the shareholders is based on the amount and timing of their investment, and their required rate of return on investments of this company's level of risk. |
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| 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.
| | == See also == |
| | | * [[Economic value added]] |
| 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.
| | * [[Market value added]] |
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| 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.
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| Also written 'Euribor'.
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| EMMI continuously reviews the basis of EURIBOR, striving to improve it.
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| ==Contributing rate estimates==
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| Since 2013, a panel of banks contribute to the Euribor. The panel is made up of:
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| * Banks from EU countries participating in the euro from the outset.
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| * Banks from EU countries not participating in the euro from the outset.
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| * Large international banks from non-EU countries but with important euro zone operations.
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| 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").
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| 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.
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| EMMI publishes a [http://www.euribor-ebf.eu/assets/files/Euribor_code_conduct.pdf code of conduct] for contributing banks.
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| ==Euribor calculation==
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| 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.
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| Thomson Reuters is the screen service provider responsible for computing and also publishing Euribor.
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| The Euribor process is overseen by a [http://www.euribor-ebf.eu/euribor-org/steering-committee.html Steering Committee].
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| == See also ==
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| * [[Benchmark]]
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| * [[Benchmarks Regulation]]
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| * [[EONIA]]
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| * [[Euro LIBOR]]
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| * [[European Money Markets Institute]]
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| * [[InterBank Offered Rate]]
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| * [[LIBOR]]
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| * [[TIBOR]]
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| [[Category:Manage_risks]]
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