DL Report

DL Report is our monthly white-paper level publication on issues around hedging and derivatives. Subscribers receive notifications to the publications. Our weekly newsletter, DL Monitor, presents more momentary insights on dynamics.

2022 Derivative Logic, Inc.

Interest Rate Swaps: 10 Myths and Misconceptions

The professionals at Derivative Logic have 60 + years combined…

Swaps are Back

We have noticed an increase in bank balance sheet financing of…

Defeasance is Shark Repellent

Blood is in the water. Sharks are circling. It’s no…

Negative Interest Rates for Dummies

From an emergency 100 basis-point Fed funds target rate cut,…

LIBOR Transition Cheat Sheet

The following is a quick summary of the questions we’re asked…
Warning - Proceed with Caution

LIBOR – What’s in a Name?

Names can have negative or positive connotations.  In the financial…

Is your Floating Rate Loan Really a Fixed Rate Loan?

Change impacts all aspects of life.  This is especially true…

Rates are Low and Falling: Should You Borrow Fixed or Floating?

5 Factors to Consider When Choosing Your Mix In our many years…

Swaptions: What Smart Borrowers Are Doing Now

Client Case Study: The Swaption With long-term interest rates…
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A Future Without LIBOR: Are You Ready?

This month’s DL Report provides a short and sweet cheat-sheet…
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Yield Curve Inversion: What it Really Means for Borrowers

The financial media has fallen all over itself of late to brow…
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Collars: The Hedge Smart Borrowers are Using Now

In our conversations over the years with borrowers of all shapes…
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Happy Holidays from Derivative Logic

First, a Thank You The DL Team would like to thank all of…
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How to Dissect a Fixed Rate

Not all Fixed Rates are the Same We are often asked if a fixed…
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Hedging with a Rate Cap or Swap? Buyer Beware

There are many ways to avoid some of the pitfalls when buying…
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LIBOR Replaced By SOFR – So Far, So Good?

Lenders and borrowers: the “haves” and the “have-nots”.…
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The ISDA Agreement: Borrower Beware

The ISDA agreement -  the seemingly incomprehensible document…
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The Once, Recent, and Future Fed

The United States got its first central bank in 1791, thanks…
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Borrowers: The Flat Yield Curve May be Your Friend

With all the talk of the flat yield curve in the financial media…
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Borrow Fixed or Floating? Your Road Map to the Right Decision

In our decades of assisting companies in their management of…
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Rates are on the Rise: What Smart Borrowers are Doing Now

Regardless of your or our personal opinion, it's undeniable…
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Your Guide to Choosing a Rate Cap Broker

As a commercial real estate broker, lender, attorney or accountant,…
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Beware the Flat Yield Curve

While the Fed’s 0.25% rate hike was totally anticipated, market’s…
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A Better Way to Hedge Your Future Term Debt

Now that the Fed seems to be on a consistent hiking path and…
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What the Fed’s Great Unwind Means for Rates

The Beginning of the End of QE ("Quantitative Easing”). Its…
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Resist the LIBOR Drama

Freaked out by the recent announcement of plans to end the use…
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A LIBOR Eulogy? Not So Fast

Financial newswires have been abuzz recently with the formal…
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Refinance Risk vs. Interest Rate Risk

Certainty Will Cost You Most of us like certainty. Any time…
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Rate Cap, Swap and Collar: A Cheat Sheet to Managing Rate Risk

In our conversations over the years with borrowers of all shapes…
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Buyer Beware

We often hear from clients, and especially prospects, that, when…
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Dodd-Frank and The Illusion of Transparency

For the majority of middle market borrowers, broadly defined…
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Time to Terminate Your Swap?

Most borrowers never consider terminating or re-structuring their…
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Solving the Fixed versus Floating Rate Conundrum: Your Roadmap to the Right Decision

In our decades of assisting companies in their management of…
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Featured Currency Pair: USD-GBP

After dominating the financial headlines for most of Q2, the…
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Interest Rate Caps: Acceptable Counterparties and the New Reality

Interest Rate Caps An interest rate cap is a derivative product…
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The Fixed Versus Floating Interest Rate Conundrum: 5 Factors to Consider When Choosing Your Mix

In our many years of advising borrowers of all shapes and sizes,…
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The Yield Curve: What You’ve Always Wanted to Know but Were Afraid to Ask

Have you always wanted a crystal ball to tell you where interest…
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Common Hedging Pitfalls and How to Avoid Them

Case Study #1, Refinancing a floating rate loan hedged with an…
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Swap Fatigue?

Negative Mark-to-Market (''MTM") lt is likely that close to…
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The ISDA – A Hedger’s Minefield

This long, and to many people, incomprehensible document has…
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Hedging in an Uncertain Interest Rate Cycle – Interest Rate Collar

Of the frequent publications we produce, this one is unique and…
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Negative Interest Rates: Friend or Foe?

We’re all bombarded with news of the imposition of negative…
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Swaptions 101

We are often asked how a borrower can lock-in long-term rates…
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Negative Swap Spreads and What They Really Mean

If you haven’t heard, there’s a lot of buzz going on in the…