Data Extraction, Review, and Remediation of Contracts
Financial services industry, globally, is focused on efforts to transition to alternative risk-free rates (RFR). As the 2021 deadline for LIBOR transition approaches, financial institutions must assess and plan for the potential impact of a transition away from LIBOR on their products, infrastructures, and customers.
LIBOR transition brings considerable risks and costs for financial firms. Renegotiating a large volume of contracts poses an unmanageable customer, operational, and financial impact!
The LIBOR transition program could be complicated for your organization, with possible impact on your business and customers. But the transition program should continue to accelerate because of the LIBOR deadline. Our solution offers a fully automated, simple, effective, and compliant way to amend impacted contracts at a fraction of manual cost.
Not one size fits all – Array of impacted financial institutions
Administrative overhead and risk of transition – A price tag of USD 100-150 million
No room for error – Alternate RFR’s are not economically equivalent – Financial implication for banks and customers
Defining the benchmark rate for new and historic contracts – Maintaining business as usual during transition
Lack of transparency – Complex transition with multiple failure points