Our consultants offer trusted advice on managing interest rate risk.
If you have variable rate debt, you can’t afford to ignore your exposure to interest rate fluctuations. All business owners and financial managers need to think about managing interest rate exposure over the life of their loans. Companies tend to focus on the current variable borrowing rate rather than how the rates might move over time. This can expose your balance sheet to undue risk. At Opus Bank, we can help.
- Interest Rate Derivatives (SWAPS): Interest Rate Derivatives are contractual agreements between the bank and client providing the capability, for example, to effectively convert a floating rate on a loan to a fixed rate. We can help determine your tolerance for interest rate risk and how much exposure your business can sustain on the liability side of the balance sheet
- Interest Rate CAPS: Interest rate CAPS limit your floating interest rate exposure to a specified maximum level for a specified period of time. In essence, a CAP is an insurance policy purchased by a business to protect itself against rising interest rates. For more information, contact our team today!
For more information please contact:
Senior Managing Director, Head of Alternative Revenue Strategies