WM/Reuters Benchmark Rates

The WM/Reuters benchmark rates were created in 1994 as standard forex (foreign exchange) rates. With one set standard for foreign exchange rates (both spot and forward), it’s easy to compare portfolio valuations against each other and financial benchmarks.

The WM/Reuters benchmark rates are also called the “4 pm fix,” since they’re announced at 4 pm London time on each working day. Why the name? Because the rates are set by the WM company and Thomson Reuters.

Banks and investors all over the world use these daily forex rates for currency exchange rates, setting the value exchange for a whole lotta money (like, casual billions) every day. To be transparent, your WM/Reuters benchmark rates knowledge wouldn’t be complete without mentioning the FX 2013-2015 scandal, where it was revealed that some big banks paid billions of dollars to manipulate WM/Reuters benchmark rates in their favor.