Article 23 benchmark: Difference between revisions

Latest revision as of 22:36, 14 April 2022

Interest rates - benchmark rates - Benchmark Regulation (BMR) - Financial Conduct Authority (FCA).

Article 23 refers to Article 23 of the Benchmark Regulation (BMR).

The regulator has the power, under the BMR, to designate a benchmark rate as "unrepresentative".

Article 23 designation of a benchmark rate means that the regulator:

Considers that the designated benchmark interest rate is no longer representative of the underlying market.
Thereby becomes empowered to sustain calculation and publication of the benchmark on a synthetic basis, to secure the orderly wind down of the designated benchmark.

An Article 23 benchmark is one that has been so designated by the regulator.

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 Article 23 refers to Article 23 of the Benchmark Regulation (BMR).
+The regulator has the power, under the BMR, to designate a benchmark rate as "unrepresentative".
 Article 23 designation of a benchmark rate means that the regulator:
-*Considers that a benchmark interest rate is no longer representative of the underlying market.
+*Considers that the designated benchmark interest rate is no longer representative of the underlying market.
-*Thereby becomes empowered to sustain calculation and publication of the benchmark on a synthetic basis, to secure the orderly wind down of the designated benchmarks.
+*Thereby becomes empowered to sustain calculation and publication of the benchmark on a synthetic basis, to secure the orderly wind down of the designated benchmark.
+An Article 23 benchmark is one that has been so designated by the regulator.