Posts

Collars: The Hedge Smart Borrowers are Using Now

In our conversations over the years with borrowers of all shapes and sizes, in a myriad of industries, we’ve seen time and time again that all borrowers share the same basic goal: to take advantage of low interest rates now while protecting themselves if interest rates rise in the future. Some borrowers opt for the […]

Rate Cap, Swap and Collar: A Cheat Sheet to Managing Rate Risk

In our conversations over the years with borrowers of all shapes and sizes, in a myriad of industries, we’ve seen time and time again that all borrowers basically share the same basic goal: to take advantage of low interest rates now while protecting themselves if interest rates rise in the future. Some borrowers opt for the […]

Swap Fatigue?

Negative Mark-to-Market (”MTM”) lt is likely that close to 90% of recently executed pay-fixed swap have negative market values today.  Current swap rates are, for the most part, lower than those for swaps executed I, 3, 6, or 12 months ago. In addition to movement in rates, one needs to take into account that swaps […]

Hedging in an Uncertain Interest Rate Cycle – Interest Rate Collar

Of the frequent publications we produce, this one is unique and worthy of your special attention as we dig into a few hedging alternatives that you may not be familiar with because they haven’t made sense for a very long time. If you have questions after reading please give us a call. In our conversations […]