IOSCO Compliance

Statements, Frameworks, Code of Conduct

IOSCO Compliance


Structure of these Statements

For the purpose of these statements WMBA Limited and LEBA Limited shall be referred to as the ‘Administrators’ where the context requires unless the content is specific to one administrator where that administrator will be individually named.

 

IOSCO Compliance Statement

The Administrators, subject to the proportionate approach detailed in the ‘IOSCO Proportionality Statement’ and the representations made by contributors to the benchmarks, make this assessment of compliance with the IOSCO Principles for Financial Benchmarks for those benchmarks identified in the ‘Index & Benchmark Portfolio’.

A list of public policies and procedures supporting these assessments is provided below:

The Administrators note that whilst the objective of IOSCO was to create an overarching framework of principles for benchmarks used in financial markets, the Administrators shall, where possible and proportionate, apply the framework to all the indices that they administer.

For further information in respect of these policies and procedures, or supplementary internal documentation identified, please contact WMBA Limited or LEBA Limited on 020 7947 4900 or compliance@evia.org.uk.

These documents are accurate as at the date of publication. The Administrators reserve the right to make changes to these documents to comply with changes in benchmark regulation.

 

External Assessment

Prior to the EU Benchmark Regulation coming into force on 1st January 2018, WMBA Limited was regulated by the FCA under the UK legislation for the activity of administering two specified benchmarks, namely the Sterling Overnight Index Average (“SONIA”) and the Repo Overnight Index Average (“RONIA”). In view of the status of SONIA and RONIA as specified benchmarks under the UK legislation, WMBA Limited undertook specific reviews of the two benchmarks individually against the IOSCO Principles and these statements can be seen below. Independent assurance of the compliance statements made by WMBA Limited was provided by Promontory Financial Group, an IBM company.

* The final publication of SONIA by WMBA Limited was 20th April 2018. SONIA is now under the full control of the Bank of England.

Whilst the EURONIA benchmark and the LEBA indices were not specified under UK legislation and therefore not directly assessed as part of this external review, due to almost identical methodologies, infrastructure and governance frameworks, including but not limited to the Benchmark Oversight Committee with respect to EURONIA, users can take comfort from these reviews when assessing the Administrator’s ability to administer indices and benchmarks.