2021年10月6日 · Recognizing the unique importance of clarity and certainty with respect to fallbacks for consumer contracts, the ARRC published a separate set of Guiding Principles for its work on consumer products.

The Alternative Reference Rates Committee (ARRC) was a group of private-sector participants convened by the Federal Reserve Board and the New York Fed to help ensure a successful transition from U.S. dollar (USD) LIBOR to a more robust reference rate, its recommended alternative, the Secured Overnight Financing Rate (SOFR).

2022年9月22日 · With this understanding, the Alternative Reference Rates Committee (the “ARRC”), the arm of the Federal Reserve (the “Fed”) tasked with managing LIBOR cessation, recommended CSAs for one-month, three-month and six-month interest rate tenors.

2022年3月31日 · To make SOFR more economically similar to LIBOR, one can use Credit Spread Adjustment (“CSA”) – either in the form of a flat adjustment (like 10 bps) across the curve or a “CSA Curve” (like 10 bps for 1M, 15 bps for 3M and 25 bps for 6M) – or increase the SOFR loan margin to make the all-in rate more similar to a LIBOR loan.

2022年12月6日 · Meanwhile, those credit agreements that feature the ARRC's "hardwired" fallback language are locked in to using the ARRC-recommended CSAs, whether transitioning after USD LIBOR cessation on June 30, 2023 (the "Cessation Date") or …

ARRC Announces Recommendation of a Spread Adjustment Methodology for Cash Products At its April meeting, the Alternative Reference Rates Committee (ARRC) agreed on a recommended spread adjustment methodology for cash products referencing U.S. dollar (USD) LIBOR.

2023年3月16日 · On 15 March 2023, the Alternative Reference Rates Committee (ARRC) formally recommended the replacement rates and related adjustment spreads to be used as fallbacks for USD LIBOR after 30 June...

2023年3月2日 · As background, the ARRC CSAs (11/26/43 bps) represent the five-year historical median difference between LIBOR and SOFR as set in March 2021. This is the methodology proposed by the ARRC (and affirmed in multiple market consultations) to minimize the long-term value transfer between parties.

2023年1月28日 · The Alternative Reference Rates Committee (ARRC) is a group established by the Federal Reserve Board and the New York Fed. Its members include private-sector banks, asset...

2022年4月20日 · While originating new SOFR loans moved smoothly, the debate intensified on an economically “neutral” transition. Because the SOFR curve is lower and flatter than LIBOR (slide 11), maintaining economic neutrality requires either a credit spread adjustment (“CSA”) or a higher margin on a SOFR loan.