The London Interbank Offered Rate (LIBOR) is a global benchmark interest rate calculated daily, and it is the most widely used benchmark in the capital markets. State and local governments often see this rate in swaps/derivatives products intertwined with municipal debt, and in floating rate notes, lease contracts, bank loans, direct placements, and other types of financings and credit enhancements.

Make a list of all your exposure and track this list throughout 2021. Check off the exposure that has been eliminated. And remember—always call your bond counsel!

• Publication date: April 2021