Bank of Canada-linked working group set to analyze credit-sensitive benchmark

FILE PHOTO: A sign is pictured outside the Bank of Canada building in Ottawa, Ontario, Canada, May 23, 2017. REUTERS/Chris Wattie

TORONTO (Reuters) - The mandate of the working group helping to transition Canadian financial markets to risk-free benchmark interest rates has been broadened to include an analysis of the Canadian dollar offered rate (CDOR), the Bank of Canada said on Monday.

The Canadian Fixed Income Forum (CFIF) has expanded the mandate of the Canadian Alternative Reference Rate working group (CARR) to include an in-depth analysis of CDOR, Canada’s survey-based credit-sensitive benchmark, and to make recommendations based on that analysis, the central bank said.

CFIF was set up by the Bank of Canada to facilitate the sharing of information between market participants and the bank on the Canadian fixed-income market.

Reporting by Fergal Smith; Editing by Leslie Adler