American Financial Exchange (AFX), an electronic exchange for direct lending and borrowing for American banks and financial institutions, announced today that American Electric Power (NYSE: AEP), one of the largest energy companies in the United States, has joined the Exchange, the first electric utility to do so.
The AFX facilitates the determination of AMERIBOR, a transaction-based interest rate benchmark for banks via its electronic trading platform. Since the start of the AFX and the AMERIBOR benchmark, more than $945 billion in value has been transacted and continues to rise. Average daily volume in April was $2.6 billion and continues to surpass previous levels.
“Many of AFX’s members are in our service territory and the ability to build and strengthen relationships with them is important to us. Choice in benchmarks is good for efficient capital markets, corporations and the people they serve. We’re interested in helping advance AMERIBOR as a benchmark rate,” said Brian X. Tierney, AEP’s Executive Vice President and Chief Financial Officer.
Dr. Richard L. Sandor, founder and CEO of the AFX said, “We are proud and honored to announce American Electric Power as an AFX member. AEP is one of the largest electric companies in the United States and is recognized both for being a leader in areas such as technology and the environment. This is another important step to making the AMERIBOR rate widely available to corporate America.”
For more information about AFX or AMERIBOR, visit www.ameribor.net.
