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battle against climate change. Register at Bloomberg Live.com slash B Green Radio. Hello and welcome to another episode of the All-Thots podcast.

I'm Tracy Allaway.

And I'm Joe Weisenthall.

So, Joe, we're finally doing it.

We're finally doing our Libor series.

Yeah we've been talking about this for a while the idea of doing a big series

on Libor what happened to, what it was, what it was, what it is now, where it's going, and we're

going to kick it off.

Yep, this is the first of those episodes. So just as an introduction, let's talk about what

Libor is. Libor is the London Interbank Offered Rate, and it is, as you mentioned Joe Joe in a state of transition just for background this is basically

the reference rate that governs trillions of dollars worth of asset prices so for instance if you sell a bond in the market, it will be priced off

LIBOR. So whatever the interbank offered rate is plus an additional yield. Same thing if you sell a loan,

home mortgages priced off LIBOR. Basically the financial system has for many, many years run on LIBOR and that is a big deal because we are supposed to be moving away from that particular reference rate.

Right, so this is not a topic that I know particularly well. I know about the centrality of the rate. I know that there is an effort of foot to move all of these various offerings that currently

index in some way to libel or onto something new, which we'll get to. offerings that there was a manipulation of this price and that that was a major scandal and that the way the price is set and measured

opened itself to all kinds of shenanigans. But honestly, I don't know much more about it than that.

I don't know much about its history. I don't know much more about it than that I don't know much about its history I don't

...