FTSE Russell Factsheet

Financial Benchmarks
from LSEGWMR FX Benchmark: An alternative to JPNU/TKFE
The financial benchmarks world is evolving
The benchmarks world is changing, and the expectations and requirements of users andauthorities are much greater than before. WMR FX Benchmark spot rates are independent
FX benchmarks which are regulatory compliant.
The WMR Spot Rates | LSEG are globally recognised as independent foreign exchange (FX)
benchmarks and are up to date with regulatory changes. The rates are aligned with theInternational Organization of Securities Commissions (IOSCO) Principles for Financial
Benchmarks. Refinitiv Benchmark Services Limited (RBSL), the administrator of the WMR SpotRates, maintains Part 4A permission to administer a specific benchmark by the UK’s Financial
Conduct Authority (FCA) and is authorised as a Benchmark Administrator under EU BMR. WMR is
widely accepted as the global standard, providing an independent, comprehensive service thatclients can trust. The WMR methodology, controls, processes and practices have been scrutinised
and accepted by international regulators and authorities.
WMR is a credible alternative
1. The WMR services are recognised as the global standard for FX benchmarks. WMR is theonly FX benchmark to use multiple data sources, including market-leading trading venues.
Doing so allows it to source actual transaction data for appropriate currencies to reflect FX
trading across global markets. This means we can deliver quality and accurate data using ahighly credible methodology that aligns with expectations from the industry, regulators,authorities and IOSCO.
2. WMR has been reviewed by the Financial Stability Board (FSB) and officially assessed byIOSCO and is routinely monitored by the FCA. We are also committed to publishing independentand transparent benchmark rates in line with the EU Benchmark Regulation. Users haveconfidence in the methodology and practices used to calculate the benchmark rates.
3. WMR services are an alternative in the International Swaps and Derivatives Association(ISDA) definitions for TKFE, TKFE2 and TKYFX. The WMR (11 a.m. UK time) Spot Rates
are the replacement for the FXFIX data in the ISDA definitions.
4. WMR has been providing FX benchmarks to the global market since its launch in 1994.
WMR Closing Spot Rates (4 p.m. UK time) have history available from 1994, and theIntraday Spot Rates history is available from 2001.
5. WMR continuously evolves to meet users’ data needs and provides access to a wide rangeof spots, forwards and non-deliverable forwards (NDFs) across the global day, offering data
24 hours a day to daily services at various times of day.
6. WMR Spot Rates services provide access to 157 Spot Rates, available at daily or hourlyintervals, with 22 currencies available every 30 minutes.
7. WMR supports business continuity, operating dual systems and distributing benchmark
rates via multiple vendors and data feeds. It has a dedicated team available 24 hours a dayand is committed to finding solutions for challenging markets.
8. LSEG makes a wide range of materials for the WMR services publicly available to assist
users with their assessment and understanding of the WMR services. These include acomprehensive methodology, an IOSCO statement that includes a review of WMR against
each of the principles, and a range of policies and procedures to demonstrate best practices
are enforced.
LSEG can help with the transition from JPNU/TKFE to WMR and to find the best solutions
for clients.

1 of 2Financial benchmarks from LSEG

Aligning with global requirements
LSEG has conducted a review of the hourly spots and cross rates designed for the Japanesemarket. In order to ultimately align with global requirements for benchmarks, we made thedecision to change the data source of hourly spot and cross-reference rates published on<JPNU>, <JPNV>, <JPNW>, <TKFE>, <TKFE2> and <TKYFX>. Therefore, we direct themarket to use WMR for benchmarking purposes, and <JPNU>, <JPNV>, <JPNW>, <TKFE>,<TKFE2> and <TKYFX> to be used for reference only.
<JPNU>, <JPNV>, <JPNW>, <TKFE>, <TKFE2> and <TKYFX> pages continue to be available.
They are designed for analysis and reference using indicative data for all currencies and are notcompliant with global or regional regulations for benchmarks.
WMR service is more advanced, sophisticated, and better-positioned for clients who need acredible FX benchmark service. LSEG directs users to transition from <JPNU>, <JPNV>,<JPNW>, <TKFE>, <TKFE2> and <TKYFX> to using WMR rates for trading, executing financialcontracts, pricing and valuation purposes.
WMR in 2020 and beyond
LSEG is committed to continued investment in the WMR service and greater market
engagement. This helps ensure the continuation of an independent, comprehensive service thatclients can trust with rates that are transparent, reliable and reflective of the market.
LSEG recognises that benchmarks are a fundamental component of many transactions, pricing,valuations and accounting practices. Therefore, it is imperative that the quality of thebenchmarks we offer is of the highest standard. We are continually working with our clients toimprove the WMR offering, and regularly act on our customer feedback. It is in response to such
feedback that we are focused on identifying ways to enhance users’ experience of the WMRservices. For instance, we are reviewing the WMR publication schedule and we are assessing
the cross spot rates service to determine if any enhancements or expansion to these would
be viable.
Please be advised that, currently, the WMR rates published onto Eikon pages may display aUK/GMT time stamp.

© [2023] London Stock Exchange Group plc and its applicable group undertakings (“LSEG”). LSEG includes (1) FTSE International Limited (“FTSE”),(2) Frank Russell Company (“Russell”), (3) FTSE Global Debt Capital Markets Inc. and FTSE Global Debt Capital Markets Limited (together, “FTSECanada”), (4) FTSE Fixed Income Europe Limited (“FTSE FI Europe”), (5) FTSE Fixed Income LLC (“FTSE FI”), (6) FTSE (Beijing) Consulting Limited(“WOFE”) (7) Refinitiv Benchmark Services (UK) Limited (“RBSL”), (8) Refinitiv Limited (“RL”) and (9) Beyond Ratings S.A.S. (“BR”). All rights reserved.
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licensors and are owned, or used under licence, by FTSE, Russell, FTSE Canada, FTSE FI, FTSE FI Europe, WOFE, RBSL, RL or BR. FTSE
International Limited is authorised and regulated by the Financial Conduct Authority as a benchmark administrator. Refinitiv Benchmark Services (UK)
Limited is authorised and regulated by the Financial Conduct Authority as a benchmark administrator.
All information is provided for information purposes only. All information and data contained in this publication is obtained by LSEG, from sources
believed by it to be accurate and reliable. Because of the possibility of human and mechanical inaccuracy as well as other factors, however, suchinformation and data is provided “as is” without warranty of any kind. No member of LSEG nor their respective directors, officers, employees, partners orlicensors make any claim, prediction, warranty or representation whatsoever, expressly or impliedly, either as to the accuracy, timeliness, completeness,merchantability of any information or LSEG Products, or of results to be obtained from the use of LSEG products, including but not limited to indices,rates, data and analytics, or the fitness or suitability of the LSEG products for any particular purpose to which they might be put. The user of theinformation assumes the entire risk of any use it may make or permit to be made of the information.
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for the investor. A decision to invest in any such asset should not be made in reliance on any information herein. Indices and rates cannot be invested indirectly. Inclusion of an asset in an index or rate is not a recommendation to buy, sell or hold that asset nor confirmation that any particular investor may
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Past performance is no guarantee of future results. Charts and graphs are provided for illustrative purposes only. Index and/or rate returns shown may
not represent the results of the actual trading of investable assets. Certain returns shown may reflect back-tested performance. All performance
presented prior to the index or rate inception date is back-tested performance. Back-tested performance is not actual performance, but is hypothetical.
The back-test calculations are based on the same methodology that was in effect when the index or rate was officially launched. However, back-tested
data may reflect the application of the index or rate methodology with the benefit of hindsight, and the historic calculations of an index or rate may
change from month to month based on revisions to the underlying economic data used in the calculation of the index or rate.
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