ICE Benchmark Administration Launches Beta Version of GBP SONIA ICE Swap Rate®
Intercontinental Exchange (NYSE: ICE) has launched a beta version of its GBP ICE Swap Rate® for SONIA swaps. This new offering includes daily indicative settings ranging from one to 30 years and follows positive market feedback on previous consultations by ICE Benchmark Administration (IBA). The beta settings are intended for evaluation and feedback purposes only, and IBA will determine when these can be used as benchmarks in financial instruments. The initiative supports the transition to alternative rates in the financial market.
- Launch of GBP ICE Swap Rate® for SONIA swaps enhances offerings.
- Positive market feedback received during consultations supports this new product.
- Beta settings are not intended for use as benchmarks in financial contracts or investment funds.
LONDON--(BUSINESS WIRE)--Intercontinental Exchange, Inc. (NYSE:ICE), a leading operator of global exchanges and clearing houses and provider of mortgage technology, data and listings services, announces that ICE Benchmark Administration Limited (IBA) has launched an initial, ‘Beta’, version of its GBP ICE Swap Rate® for SONIA swaps.
IBA has started to publish daily indicative GBP SONIA ICE Swap Rate® ‘Beta’ settings with tenors ranging from one to 30 years. The settings are available here alongside the six other ICE Swap Rate® benchmark ‘runs’ covering EUR, GBP and USD. IBA’s publication of a ‘Beta’ version of the ICE Swap Rate® for SONIA swaps follows a positive market response to feedback and consultation papers on IBA’s proposals to enhance the ICE Swap Rate® through the introduction of these new settings.
“We are pleased to support the development and adoption of alternative rates by launching ICE Swap Rate® settings for SONIA”, said Tim Bowler, President of ICE Benchmark Administration. “IBA is working hard to provide products and solutions to help stakeholders transition efficiently to alternative rates. We expect to be able to launch ICE Swap Rate® settings for other alternative, overnight rates as the relevant swaps markets develop.”
The GBP SONIA ICE Swap Rate® ‘Beta’ settings are determined using the published ICE Swap Rate® ‘Waterfall’ methodology and are available for the same tenors and at the same time as the current GBP LIBOR® ICE Swap Rate®.
IBA is publishing the GBP SONIA ICE Swap Rate® ‘Beta’ settings solely for information and illustration purposes in order to enable stakeholders to evaluate the rates and provide feedback. They are not intended for, and IBA expressly prohibits their use for, any other purpose, including as a reference, index or benchmark in financial instruments, financial contracts, or investment funds. IBA will announce in due course when GBP SONIA ICE Swap Rate® settings will be made available as a benchmark for use in financial instruments.
About ICE Benchmark Administration
ICE Benchmark Administration is authorized and regulated by the Financial Conduct Authority for the regulated activity of administering a benchmark, and is authorized as a benchmark administrator under the EU Benchmarks Regulation. IBA reserves all rights in the ICE Swap Rate methodology, and in the ICE Swap Rate and GBP SONIA ICE SWAP Rate ‘Beta’ settings. ICE Swap Rate, ICE LIBOR, LIBOR and ICE Benchmark Administration are registered trademarks of IBA and/or its affiliates.
About Intercontinental Exchange
Intercontinental Exchange (NYSE: ICE) is a Fortune 500 company formed in the year 2000 to modernize markets. ICE serves customers by operating the exchanges, clearing houses and information services they rely upon to invest, trade and manage risk across global financial and commodity markets. A leader in market data, ICE Data Services serves the information and connectivity needs across virtually all asset classes. As the parent company of the New York Stock Exchange, the company is the premier venue for raising capital in the world, driving economic growth and transforming markets.
Trademarks of ICE and/or its affiliates include Intercontinental Exchange, ICE, ICE block design, NYSE and New York Stock Exchange. Information regarding additional trademarks and intellectual property rights of Intercontinental Exchange, Inc. and/or its affiliates is located at http://www.intercontinentalexchange.com/terms-of-use. Key Information Documents for certain products covered by the EU Packaged Retail and Insurance-based Investment Products Regulation can be accessed on the relevant exchange website under the heading “Key Information Documents (KIDS).”
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 -- Statements in this press release regarding ICE's business that are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see ICE's Securities and Exchange Commission (SEC) filings, including, but not limited to, the risk factors in ICE's Annual Report on Form 10-K for the year ended December 31, 2019, as filed with the SEC on February 6, 2020.
About SONIA
The "SONIA" mark is used under licence from the Bank of England (the benchmark administrator of SONIA), and the use of such mark does not imply or express any approval or endorsement by the Bank of England. "Bank of England" and "SONIA" are registered trademarks of the Bank of England.
Source: Intercontinental Exchange
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