What is LIBOR?
The LIBOR is the most commonly-used benchmark rate that is given by banks when charging each other for short-term loans. LIBOR stand for London Interbank Offered Rate. There are a total of 35 different LIBOR rates posted each day, ranging from overnight to 12 months, and based off of five different currencies. For calculating overnight fees for stocks, eToro uses the 1-month USD LIBOR rate.
To read more about the LIBOR and how it’s calculated, click here.