Benchmark services

TORF（Tokyo Term Risk Free Rate）

Japanese Yen Term Risk Free Rate Designated as a “Specified Financial Benchmark”

TORF is a “Specified Financial Benchmark” as defined by the Financial Instruments and Exchange Act. It is a term risk free rate (interest rate on risk free assets) calculated and published daily by QUICK Benchmarks Inc. (QBS), which is designated as a Specified Financial Benchmark Administrator. It is one of the successor benchmarks to the London Interbank Offered Rate (LIBOR), whose publication ceased at the end of 2021.

Click here for your application or inquiries

Features and Outline of TORF
TORF Adoption and Market Acceptance Status
How to Access TORF
Information Regarding the Use of TORF

Features and Outline of TORF

Features

Term interest rate based on the “risk free rate” of Japanese yen
Adopts the “fixing in advance” method, where the applied interest rate is fixed at the beginning of the period.
Interest rate reference period and calculation period are the same.

Outline

Official Name

Tokyo Term Risk Free Rate

Abbreviation

TORF

Linkage with the Market

Calculated based on the execution data observed in the market
Reflects actual interest rate movements

Interest Rate Determination Method

Adopts the “fixing in advance” method, where the applied interest rate is fixed at the commencement of the interest period.

Uses

Reference rate for commercial transactions, including loans and bond issuances, asset valuation.

Advantages of Using TORF

Like Japanese yen LIBOR, it allows borrowing and lending rates to be set in advance, enabling smooth management and operation using conventional systems.

Data Provided

Name / Tenor	ISIN Code (International Securities Identification Number)
1M TORF	JP9060Q00007
3M TORF	JP9060R00005
6M TORF	JP9060S00003

Calculation Time: 3:00 pm JST on a Tokyo business day
Publication Time: Around 5:00 pm JST on the same day
※For the publication dates, please refer to the TORF calendar.

Source Data for Calculation

Spot-starting outright Japanese yen Overnight Index Swap (OIS) transaction
Transactions executed on Tokyo business days
Executed transactions: Execution rates, notional amounts, and execution date, and time
Indicative quotes: Best bids and offers and other data, date and time of submission

Calculation Methodology

It is calculated from data on derivative transactions (OIS) based on the uncollateralized overnight call rate (Tokyo Overnight Average Rate: TONA), which involves almost no credit risk of financial institutions. The Waterfall methodology is adopted, whereby executed transaction data is used first. If there is no applicable data, the next level of data is used. Details of the calculation methodology can be downloaded below.

Detailed documents
for calculation methodology

TORF Adoption and Market Acceptance Status

TORF is a relatively new interest rate benchmark, and its adoption rate is gradually increasing.

Financial Institutions Response	Many financial institutions in Japan have progressed with the implementation of new benchmark interest rates, including TORF, following the discontinuation of LIBOR. The use of TORF is increasing, especially in long-term loans and derivative transactions.
Corporations Response	Corporations are also adapting to the new benchmark interest rate, leading to an increase in TORF-based loan agreements. Large corporations and those engaged in international transactions, in particular, are comparing multiple benchmark rates, including TORF, to adopt the most favorable one.
Current Market Penetration	The use of TORF is gradually expanding across the market, particularly in long-term financial products and loans. TORF, which is calculated based on actual transactions, is favored for its high degree of objectivity and fairness. The increasing volume of TORF-based transactions by financial institutions and corporations is enhancing overall market reliability and transparency.

How to Access TORF

Accessing TORF via QUICK Services

Subscription to one of the following services is required:

Target Services

Qr1, QUICK Workstation, QUICK Workstation Astra Manager Package, QUICK Asset Design PRO, QUICK APIs, QUICK Feed, and others.

For Inquiries

	Real Time	24H Delayed
Quote Code	MJPY#TORF.n/QBS (※n＝1, 3, 6)	MJPY#TORF.n/QBSD (※n＝1, 3, 6)
Screen Code	TORF@	TORF@D

※QUICK Money World (24H Delayed): https://moneyworld.jp/page/torf.html

For Inquiries

Quote Code

Real Time
MJPY#TORF.n/QBS (※n＝1, 3, 6)
24H Delayed
MJPY#TORF.n/QBSD (※n＝1, 3, 6)

Screen Code

Real Time
TORF@
24H Delayed
TORF@D

※QUICK Money World (24H Delayed): https://moneyworld.jp/page/torf.html

Other Publication Sources

The Nikkei (Morning Edition)
Nikkei NEEDS service
Refinitiv（Tile：<JPYTRR=QCKJ>、RIC Code：<JPYTRR1M=QCKJ>、<JPYTRR3M=QCKJ>、<JPYTRR6M=QCKJ>）
Bloomberg（TORF<Go>）

Information Regarding the Use of TORF

License Agreement

A license agreement with QUICK is required to use TORF. Please refer to the “Agreement Sample (PDF)” and the“User License Price List(PDF),” then contact us below.

※Please refer to the “Application Form Sample (PDF)” for instructions on how to complete the application form.
※For details regarding the TORF license, please also see the“TORF License Guide (PDF)”.

Contact Us

Redistribution License

To redistribute TORF, a license agreement with QUICK is also required. Please refer to the “Redistribution License Price List (PDF),” then apply using the contact form.