Developing & Implementing
a Loan Hedging Strategy

In this rate environment, borrowers seek the stability of a fixed-rate loan. Yet, floating rate loans are preferred by most financial institutions right now. This difference in interests creates a disconnect between the longer, fixed rate term structures borrowers want and the shorter duration assets community financial institutions need in a rising rate environment. So, what can you do to fix it?

This Industry Insights paper explores how hedging can help reduce volatility, how to select the right hedging program, and develop your loan hedging strategy.