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Spread the SOFR Love

January 05, 2022

Don’t miss out reading this article discussing credit spread adjustments related to the differential in rates between LIBOR and SOFR. While LIBOR and SOFR historically trend together, LIBOR is generally higher than SOFR. Due to the difference in these rates, the ARRC has recommended that a credit spread adjustment be added to SOFR to compensate for the difference between the two rates.


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