The new EU Benchmarks Regulation (BMR) was published in June 2016 and most rules will apply as of 1 January 2018. The BMR introduces new compliance requirements for benchmark administrators, contributors, and users, with regard to interest rate, foreign exchange, security, commodity, and other benchmarks used in financial transactions. The BMR was enacted in response to public pressure resulting from the aftermath of the LIBOR scandals and follows the recommendations of the IOSCO and ESMA EBA Principles. Like many EU financial services regulations does also the BMR have an extraterritorial reach and apply to US based benchmark providers and contributors. This post will give an overview about how US based financial market participants will be affected by the BMR.

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