LIBOR Transition Resources

The London Interbank Offered Rate (LIBOR), the worlds most widely used benchmark for short-term interest rates, may no longer be available after 2021. To help our members and other market participants, we have put together some information and resources that may be useful during this transition.

Changes to benchmark reference rates are underway, affecting FHLBank San Francisco, our members, and other market participants that use instruments with components tied to LIBOR. As a result of these changes, LIBOR may no longer be available or reliable for financial market participants after 2021.

The Secured Overnight Financing Rate (SOFR) is the alternative rate recommended by the Alternative Reference Rates Committee (AARC). The Federal Reserve Bank of New York publishes SOFR rates daily.

News and Announcements

Fannie and Freddie Helping Secondary Market with LIBOR Transition (May 29, 2020)

Fannie Mae Announces LIBOR Transition Webpage (May 28, 2020)

ARRC Recommended Best Practices for Completing the Transition from LIBOR (May 27, 2020)

FHFA Instructs FHLBanks to Begin Transitioning Away from LIBOR (September 27, 2019)

FHLBanks Office of Finance: SOFR Issuance hits $100 billion (August 21, 2019)

ISDA: Bloomberg Selected as Fallback Adjustment Vendor (July 31, 2019)

SEC: Staff Statement on LIBOR Transition (July 12, 2019)

Fannie Mae: Statement on ARRC's SOFR Adjustable Rate Mortgage Framework (July 11, 2019)

BIS: Beyond LIBOR: A primer on the new benchmark rates (March 5, 2019)

Resources

LIBOR/SOFR FAQ

LIBOR/SOFR transition timeline (ARRC) 

ARRC: Practical Implementation Checklist for SOFR Adoption

A User’s Guide to SOFR (ARRC) 

ARRC: Fallback Contract Language

Alternative Reference Rates Committee (ARRC)

Financial Conduct Authority (FCA)

International Swaps and Derivatives Association (ISDA)