ECB opts for STOXX EUR GC Pooling index
06 October 2015 Frankfurt
Image: Shutterstock
The European Central Bank (ECB) will now use Deutsche Börse Group’s STOXX EUR GC Pooling index as its new benchmark rate for fixed term deposits, following the discontinuation of the Eurepo index.
The secured market rate with regard to fixed term deposits in euro will be the STOXX EUR GC Pooling term indices with a comparable maturity, according to the ECB.
STOXX EUR GC Pooling indices are calculated by STOXX, the global index provider owned by Deutsche Börse Group.
The indices are based on secured euro funding transactions taking place on Eurex Repo’s GC Pooling market, Deutsche Börse’s pan-European marketplace for international financing in the secured money market.
Almost all of European interbank financing is now executed on a collateralised basis. STOXX and Eurex Repo jointly developed the STOXX GC Pooling indices in 2013 as a market barometer of Europe’s largest secured money market, GC Pooling, according to Deutsche Börse.
“We are very pleased that the ECB is going to use our STOXX EUR GC Pooling indices as it validates our approach and concept,” said Hartmut Graf, COE of STOXX.
“Our transparent, rules-based and reliable benchmark for the interbank market contributes to regain trust in reference interest rates.”
Marcel Naas, managing director of Eurex Repo, added: “Our GC Pooling market is a regulated, anonymous, and centrally cleared marketplace with an average daily outstanding volume of more than €150 billion.”
The secured market rate with regard to fixed term deposits in euro will be the STOXX EUR GC Pooling term indices with a comparable maturity, according to the ECB.
STOXX EUR GC Pooling indices are calculated by STOXX, the global index provider owned by Deutsche Börse Group.
The indices are based on secured euro funding transactions taking place on Eurex Repo’s GC Pooling market, Deutsche Börse’s pan-European marketplace for international financing in the secured money market.
Almost all of European interbank financing is now executed on a collateralised basis. STOXX and Eurex Repo jointly developed the STOXX GC Pooling indices in 2013 as a market barometer of Europe’s largest secured money market, GC Pooling, according to Deutsche Börse.
“We are very pleased that the ECB is going to use our STOXX EUR GC Pooling indices as it validates our approach and concept,” said Hartmut Graf, COE of STOXX.
“Our transparent, rules-based and reliable benchmark for the interbank market contributes to regain trust in reference interest rates.”
Marcel Naas, managing director of Eurex Repo, added: “Our GC Pooling market is a regulated, anonymous, and centrally cleared marketplace with an average daily outstanding volume of more than €150 billion.”
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