SOFRértékkel

SOFRértékkel is a Hungarian term that translates to "with SOFR value" or "at the SOFR rate". SOFR stands for the Secured Overnight Financing Rate, a benchmark interest rate that represents the cost of borrowing cash overnight collateralized by U.S. Treasury securities. In the context of financial transactions in Hungary, referring to something "SOFRértékkel" generally means that a particular financial product, loan, or derivative is priced or valued based on the SOFR benchmark.

This implies that the interest rate applied will fluctuate in line with changes in the SOFR. Financial instruments with a "SOFRértékkel" designation are typically variable-rate instruments. The specific calculation often involves adding a spread or margin to the SOFR rate to determine the final interest rate. This practice has become more common as global financial markets seek to transition away from other benchmark rates. Understanding "SOFRértékkel" is crucial for anyone dealing with financial contracts that are indexed to this U.S. dollar-based benchmark rate, even within a Hungarian financial context. It signifies a direct link to global interbank lending rates.