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.

Derivative Logic Logo

Swaptions 101

We are often asked how a borrower can lock-in long-term rates today on debt maturing in one, two years or beyond. Long-term interest rates are rather attractive by historical standards, but the borrowers dilemma is the debt they want to hedge isn’t due for a couple of years or the project is in a construction […]

Derivative Logic Logo

Negative Swap Spreads and What They Really Mean

If you haven’t heard, there’s a lot of buzz going on in the debt markets these days around the fact that something very strange is going on: interest rate swap rates are lower than their US Treasury counterparts. Huh? We understand if you have avoided some of the more technical stories on the topic in […]