The scandal associated with manipulation of the London Interbank Offered Rate (LIBOR) during the 2008 financial crisis caused a great deal of concern among banking and accounting regulators. In 2014, the Financial Stability Oversight Council recommended that U.S. regulators identify an alternative benchmark rate to LIBOR. This recommendation was given an effective timeline in 2017 when the UK Financial Conduct Authority, as the regulator of LIBOR, announced the intent to discontinue the rate by year-end 2021. The Federal Reserve and the Alternative Reference Rates Committee (AARC) have since recommended the Secured Overnight Funding Rate (SOFR) as the recommended replacement rate for LIBOR. Additionally, the AARC recommends that all LIBOR loan agreements cease using any LIBOR index rates by Sept. 30, 2021…
Category: White Papers
Charles Rierson
Mr. Rierson was most recently Managing Director and Co-Head of Financial Institutions Consulting at Situs where he built a bank consulting business on top of Situs core loan advisory capabilities. Previously, Mr. Rierson was with Regions Financial Corporation where he served as Managing Director & Chief Operating Officer of Regions Capital Markets, a division of Regions Bank, as well as Chief Executive Officer of Regions Securities LLC. Mr. Rierson also has experience with The Federal Reserve Bank of Atlanta and Wachovia Bank.
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