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There are so many bilateral derivative contracts tied to LIBOR what would it even mean for this benchmark to go away?
by xefer 9y ago
There are so many bilateral derivative contracts tied to LIBOR what would it even mean for this benchmark to go away?
- cm2187 9y agoI don't think it will completely go away. It will be replaced by some other benchmark calculated differently. Derivatives won't be a problem as the ISDA association can make a decision that would automatically convert all contracts. Bonds and private contracts will be more of a problem as they don't necessarily have a language for what happens if the index stops being published.