Commercial Paper Funding Facility

The Commercial Paper Funding Facility (CPFF) was established to enhance the liquidity of the commercial paper market by increasing the availability of term commercial paper funding to issuers and by providing greater assurance to both issuers and investors that firms and municipalities will be able to roll over their maturing commercial paper.

The CPFF provides a liquidity backstop to U.S. issuers of commercial paper through a dedicated funding vehicle that will purchase eligible three-month unsecured and asset-backed commercial paper from eligible issuers using financing provided by the Federal Reserve Bank of New York. The vehicle will hold the commercial paper until maturity and will use the proceeds from maturing commercial paper and other assets of the vehicle to repay its loan from the New York Fed.

The vehicle will cease purchasing commercial paper on March 17, 2021, unless the Federal Reserve Board of Governors extends the facility.


Vendors

On March 22, 2020, the New York Fed retained Pacific Investment Management Company, LLC (PIMCO) as a third-party vendor to serve as investment manager for this facility. PIMCO was selected on a short-term basis for this role after considering its knowledge and experience in the commercial paper market and in credit risk management and its operational and technological capabilities.

On March 25, 2020, the New York Fed retained State Street Bank & Trust Company (State Street) as a third-party vendor to serve as the custodian and accounting administrator for this facility. State Street was selected on a short-term basis for this role after considering its operational capabilities, as well as operational synergies stemming from its preexisting relationship with PIMCO.

Facility Agreements
Data
Reporting
Receive CPFF Daily Purchase Rates

The New York Fed will publish daily CPFF rates on each business day solely to inform market participants of the price at which the CPFF will purchase commercial paper on that day.

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Video: The Commercial Paper Funding Facility, Explained
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The Commercial Paper Funding Facility
 
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Contacts

Contact for General Inquiries
cpff@ny.frb.org

Contacts for Media Inquiries
Betsy Bourassa
betsy.bourassa@ny.frb.org

Suzanne Elio
suzanne.elio@ny.frb.org