25 May 2015

Isda appoints ICE to administer swaps benchmark

30 April 2014  |  766 views  |  0 Source: ISDA

The International Swaps and Derivatives Association, Inc. (ISDA) today announced that ICE Benchmark Administration Limited (IBA) has been selected by ISDA as the new administrator of ISDAFIX.

IBA was chosen following an in-depth selection process, which began with a public invitation to tender published in February. The selection process was run by the ISDA Benchmark Committee, with advice from consulting firm Oliver Wyman.

As part of its new responsibilities, IBA will transition the ISDAFIX calculation methodology from a polled submission model, where contributing banks submit price estimates, to a methodology based on actual and tradable quotes posted on multilateral trading facilities (MTFs). This change is designed to align the ISDAFIX benchmark with principles published last year by the International Organization of Securities Commissions (IOSCO) for financial benchmarks, which were subsequently endorsed by the G-20 and by the Financial Stability Board.

IBA will also assume overall responsibilities for ISDAFIX as follows:

Governance of all ISDAFIX administrative processes, including oversight and decisions of methodology, systems and controls;
Daily operations, including collection of input data and calculation of ISDAFIX rates;
Ex-ante and ex-post checks on submissions to ensure the integrity of the benchmark.

The transition to an MTF-based approach is expected to occur before the end of 2014, starting with euro and followed by dollar and sterling. The final date for the transfer of ISDAFIX benchmark rates to IBA will be confirmed once terms have been finalized with regulated trading venues.

Comments: (0)

Comment on this story (membership required)
Log in to receive notifications when someone posts a comment

Related blogs

Create a blog about this story (membership required)

Related company news

 

Top topics

Most viewed Most shared
Cash overtaken by non-cash payments in the...
7140 views comments | 48 tweets | 31 linkedin
UK opts out of European online payments se...
6439 views comments | 21 tweets | 15 linkedin
MasterCard launches personal payments serv...
6148 views comments | 15 tweets | 29 linkedin
US banks bid to crack down on 'card cracki...
5662 views comments | 8 tweets | 10 linkedin
Metro Bank to offer consumer loans via Zop...
4889 views comments | 29 tweets | 21 linkedin

Featured job

Basic £85-110K dependent on experience OTE circa £...
London

Find your next job