Risk glossary
Risk glossary
Search for the definition you are looking for.
Secured overnight financing rate (SOFR)
Originally known as the broad Treasuries financing rate, the secured overnight financing rate, or SOFR, is a measure of the cost of borrowing cash on an overnight basis in the US Treasury repo markets. It is the US successor to Libor. The rate includes the tri-party general collateral rate collected by the Bank of New York Mellon, the GCF repo rate from the Depository Trust & Clearing Corporation, and the rate used in bilateral Treasury repo transactions cleared at the Fixed Income Clearing Corporation.
Click here for articles on the secured overnight financing rate.