The SNB steers secured short-term interest rates by remunerating sight deposits and conducting open market operations, specifically repo transactions and the issuance of SNB Bills. These operations absorb sight deposits from the financial system to keep SARON, the most important secured short-term rate, close to the SNB policy rate. The design of repo transactions anchors SARON while supporting interbank market activity. SNB Bills strengthen monetary policy transmission to a wider range of short-term rates, as they can be purchased by a broad set of financial market participants. Issuing SNB Bills also allows the SNB to create collateral for its repo transactions.