The endorsement route has a number of preconditions that may make it more difficult for third country benchmark administrators.
In effect, an authorised or registered benchmark administrator in the EU can endorse a third country benchmark for use in the European Union.
GRSS intends to offer endorsement via its 100% subsidiary, Czech Financial Benchmark Facility s.r.o, (CFBF) the benchmark administrator for PRIBOR once it is authorised later in 2018.
This endorsement option is only available to be provided by registered and authorised benchmark administrators in the EU and as yet there are not many that have achieved this. The CFBF intends to be one of the first in Europe to achieve authorisation.
Endorsement requires the benchmark administrator in Europe to effectively ensure that the third country benchmark meets all the equivalence of the EU regulation. GRSS can assist in understanding the implications of this with regards to this option.