IRS using SOFR curve

maraai · November 8th, 2023, 2:31 pm

I have recently rejoined the quant world after taking a 10-year hiatus in the Fintech world, and as such my question may be very trivial, apologies in advance.

I understand that the LIBOR (and related) rates have been ditched in favour for SOFR. This is a 1-day rate whereas LIBOR was a 3M rate.

Questions:

How will the 1D SOFR rate be used in pricing and valuing an IRS, specifically, how is the forward rate (fixing rate) computed.
Is there a liquid SOFR yield curve which is used to value the swap?
Are there any nuances to normal pricing / par valuing of a vanilla swap?
The firm I joined use an approach with spreads over LIBOR in their bootstrapping and xVA tool. Is this common practice?
I have found a grand total of 1 paper on SOFR bootstrapping and another one paper on Short Rate Hull White simulation. Why is the research so thin on this subject?

Thanks in advance!