Financial institutions can now use Claira’s LIBOR remediation module to leapfrog their LIBOR project and immediately review the impact assessment from the LIBOR transition. This allows each institution to focus their efforts on higher value activity, like engaging clients, negotiating with counterparties or amending positions to reflect the post-LIBOR world. Built on Claira’s pre-trained financial contract Natural Language Understanding technology, client's can be rest assured for transparent, accurate and actionable results right away - all must haves for finance.
In Claira’s LIBOR remediation module, client’s simply log on, drag and drop their documents and immediately view a report that categorizes each by the outlined fallback language in the document. Furthermore, client’s are provided transparency at the sentence level to look back at the what, how, and why of the decision. There’s no setup or installation required. Claira can be accessed from any web browser and only takes a few minutes to process your contracts and provide immediate insights - scaling across any number of docs. Be able to resolve your LIBOR exposure before it impacts your portfolio P&L and liquidity.
Default fallback outcomes are described below.
Successor Rate: The security will transfer to an alternative reference rate
Fixed Rate: The security will fall back to the last printed LIBOR until maturity, essentially turning into a fixed rate instrument
Inoperative: There is no fall back language specified and the outcome is unknown
No LIBOR Used: LIBOR is mentioned, perhaps as part of a disclaimer or as part of a template, but does not impact the security.