The Financial Times writes "Credit Suisse becomes first bank to issue debt tied to Sofr." They tell us, "Credit Suisse has become the first bank to issue debt tied to the new US interest rate chosen to replace the London Interbank Offered Rate (Libor), selling a $100m six-month certificate of deposit on Monday. The bank is the third institution overall to issue debt tied to the Secured Overnight Financing Rate (Sofr), following a $6bn floating rate note from mortgage agency Fannie Mae and a $1bn floating rate bond from the World Bank." (See our August 16 Link of the Day, "Wells on World Bank SOFR Floater.") The article explains, "The Sofr rate, drawn from transactions in the repo market, has been chosen by an industry group and set up by the Federal Reserve to shepherd a move away from Libor. Corporate issuance is seen by the industry as an important step in aiding adoption of the new rate. The Credit Suisse debt priced at 35 basis points above Sofr, according to people with knowledge of the sale. Sofr, which resets daily, stood at 1.90 per cent on Friday -- the most recent rate available from the Federal Reserve Bank of New York, which publishes it." In other news, a press release entitled, "Moody's withdraws the Aaa-mf money market fund rating of Insight Liquidity Funds plc. - ILF USD Liquidity Fund", explains, "Moody's Investors Service ... has ... withdrawn the Aaa-mf money market fund rating of Insight Liquidity Funds plc. - ILF USD Liquidity Fund.... The Fund is managed by Insight Investment Funds Management Ltd." The release explains, "Moody's has withdrawn the rating for its own business reasons. MIS's business reasons generally do not reflect any concerns about the Rated Entity's creditworthiness or the quality of its management."

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