Key Danish benchmark CIBOR set to get a new benchmark Administrator
Finance Denmark transfers Danish IBOR benchmark administration responsibilities to industry specialist Global Rate Set Systems Ltd
Copenhagen Monday 13th May – Finance Denmark today announced that it has reached an agreement to transfer the Administration of the key reference rates CIBOR®, CITA, SWAP and Tomorrow/Next to the Danish Financial Benchmark Facility ApS (DFBF). The newly formed company is a Danish incorporated subsidiary of Global Rate Set Systems (GRSS) who themselves are a specialist provider of financial benchmark services.
Jakob Legård Jakobsen from FIDA said ‘It became clear to us that we should seek to appoint an independent specialist in order to ensure our reference rates remain robust, transparent and evolve for the ongoing benefit of the Danish financial markets. The decision to transfer responsibilities to GRSS was the result of an extensive tender process, with FIDA officials assessing a number of potential organisations to take the benchmarks forward and to achieve authorisation under European Benchmark Regulation‘.
‘The newly formed company will combine the proven governance expertise and technologies of GRSS together with the experience of current members of the Pengemarked committee to provide a knowledgeable oversight committee’, said Jakob Legård Jakobsen.
Mark Beaumont from GRSS said ‘In addition to the steps previously taken by FIDA, the introduction of new standards and systems will further reinforce the standing of the Danish benchmarks and provide confidence to local and international investors that the benchmarks meet international best practice standards’.
The transition is expected to take up to six months with full compliance with BMR to be achieved before 1stJanuary 2020.
FIDA Carsten Brink firstname.lastname@example.org
GRSS Klara Ivanovic email@example.com