Bank of America ticks boxes with new Libor alternative

By David Rothnie
23 Apr 2021

Bank of America sold a floating rate note over the Bloomberg short-term bank yield index rather than Sofr this week, as Morgan Stanley added to the post earnings rush in dollars.

Bank of America caught the eye on Wednesday when it emerged with a six month floater that referenced the Bloomberg short-term bank yield (BSBY), an alternative pricing benchmark to Libor, which will be phased out at the end of the year.

Banks have so far favoured the secured ...

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