As the financial markets begin transitioning from the London Interbank Offered Rate, which is set to go away in 2021, Fannie Mae became a pioneer in a replacement index by issuing Secured Overnight Financing Rate (SOFR) securities. The government-sponsored enterprise announced that the three-tranche $6 billion SOFR debt transaction was created to accelerate the development of the SOFR market. And Fannie encourages other issuers in debt markets to follow. The inaugural transaction garnered strong investor demand for the floating rate notes from a diverse investor base, according to Fannie.