Interest rates

A pro-active and well-defined monitoring policy along with prudent management of your company's interest rate costs will benefit you in several ways.

First, it enables a clear view of your current position and future implications for your company's performance. And second, it provides clear insights and often reveals opportunities for optimisation as well as easing your decision-making process.

We can help you instigate an active approach to monitoring and managing your company's interest rate exposures that will positively affect your future results.

Interest rate risk can be assessed and governed in numerous ways - from pure fixed-floating mix strategies to combined models where the fixed-float approach is supplemented with specific duration targets as well as statistical Value at Risk and Cash Flow at Risk models, or even more sophisticated statistical methods carrying a holistic approach. Whichever the chosen path, it is essential that you feel comfortable with the approach and it is fit for purpose.

The most common financial tools used for interest rate hedging are interest rate swaps, caps, floors, collars and currency swaps. But also various types of swaptions and more structured solutions can turn out to be very beneficial components in a prudent risk management strategy.

• Strategic advisory services on interest rate strategies, hedging policies, risk measures, and more
• Advanced liability portfolio analysis and management reporting
• Value at risk and cash flow at risk calculations
• Various sensitivity analysis incorporating individual market rate expectations
• Close awareness of hedge accounting requirements
• Swap syndicate management and bond issuance hedging
• An extensive product range of simple, advanced, and complex interest rate, inflation and currency swap instruments