Well this is news to me.
Libor, maybe the most important financial benchmark we have, a rate that underpins the enormous derivatives market, is a rate that is determined by a survey?
And over the years we have had a steady drip-feed of Libor rigging stories.
No shock there then.
For half a century, the London interbank offered rate -- better known as Libor -- has been a constant presence in financial markets. After starting as a simple interest rate used in syndicated loans, its importance ballooned when banks began using it to determine the floating leg in derivatives contracts.