Maybe term SOFR based on repo rates doesn’t really matter

An important part of the Alternative Reference Rates Committee’s (ARRC) work on the adoption of the Secured Overnight Financing Rate (SOFR) has been the creation of a term SOFR. Repo rates won’t be helpful as there aren’t enough term transactions in the market. The idea of a Secured Average Financing Rate (SAFR) has been brought up several times. But a new working paper from the Federal Reserve suggests that the term structure problem may solve itself by using SOFR futures.
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