widely used in cash products ( such as loans, mortgages and capital market instruments ) and investment products. the saron1 an interest rate swap allows a contractually agreed, fixed interest rate ( e. g. for a period of five years ) to be exchanged periodically for a floating interest rate. the floating interest rate portion of the contract is determined by a reference rate. page 2 / 3 berne, 13 june 2019 andrea m. maechler news conference based yield curve will then be able to take over the role of the current, libor - based yield curve. yield curves are important benchmarks for market participants and serve as the basis for pricing medium and long - term financial products. and, finally, the third aspect – how should interest payments be calculated for a period of three months, for example? libor provided a three - month rate which could, among other things, be directly applied to the calculation of interest payments on money market mortgages. if one were to use saron in such cases, interest payments would theoretically have to be made daily, which is impractical. the nwg has recommended using average saron values ( ‘ compounding approach ’ ), and has proposed several possible options. market participants are currently working on implementing this recommendation. let me conclude this section by emphasising that saron is establishing itself as the leading reference rate for financial products. it is the responsibility of market participants to systematically complete the remaining transition work and prepare themselves for the postlibor era. as they do so, they can draw on the recommendations of the nwg, whose activities the snb supports. the faster saron is integrated into financial products, the smoother the replacement of libor will be. the creation of a liquid, saron - based yield curve is fundamental as it will enable our money and capital markets to continue running efficiently. this is very important not only for our country ’ s financial system but also for the transmission of the snb ’ s monetary policy. snb joins network dedicated to ‘ greening the financial system ’ to conclude, i would like to say a few words about our decision to join the central banks and supervisors network for greening the financial system ( ngfs ). as climate change is a global phenomenon, institutional and technical knowledge must be analysed and exchanged globally. the snb joined the ngfs, which now comprises 36 central banks and supervisors, in april 2019. the network provides a forum in which members can conduct

thomas jordan : the significance of academic research and teaching for the swiss model for success summary of a speech by mr thomas jordan, chairman of the governing board of the swiss national bank, at the dies academicus, university of bern, bern, 1 december 2018. * * * the complete speech can be found in german on the swiss national bank's website ( www. snb. ch ). the success of switzerland in recent decades has largely been driven by the strong performance of its education system, which is crucial for economic prosperity, social cohesion and equality of opportunity overall. the swiss national bank ( snb ), too, sets great store by a good education system, including universities that can hold their own against international competition. many of the staff recruited by the snb are destined for roles in which a university degree is a prerequisite. in addition, the snb maintains close ties with the academic world, so that the latest related research findings can be incorporated into monetary policy decision - making. the competition of ideas stimulates and creates incentives for higher - quality monetary policy. this pursuit of excellence in academic education should not just be aimed at research, however ; it should also target teaching. experience has shown that foundation courses have a lasting effect on students'attitudes to certain topics. teaching lays the basis for subsequent academic specialisation and career choice. as role models, professors carry a heavy responsibility. many senior managers and specialists view their student days as a pivotal time in their lives, so the quality of teaching has a major impact on both economy and administration. universities make a direct contribution to a country's prosperity by maintaining the necessary capabilities and developing and imparting knowledge that is useful for the economy and society. but their indirect contribution is just as important : universities must enable their graduates to understand and appreciate the significance of the swiss model for success. this model is based on the pillars of direct democracy, the rule of law, federalism and an awareness of the value of stable institutions. the terms'markets'and'competition'are key to understanding basic economic relationships, and are fundamental to ensuring prosperity, as well as to acquiring and applying new scientific knowledge. one of the tasks of a university is to provide its graduates and the general public with a realistic picture of the functioning and importance of markets and competition. only in this way can the swiss model for success endure in a world of constant change. 1 / 1 bis central bankers'speeches