Interest Rate Risk management

Manage interest rate risks

If your business has long term debt, or you are looking to increase the debt in your business, Interest Rate movements have the potential to impact your funding costs.

How we can help

At BOQ we offer interest rate risk management and hedging strategies tailored to your individual requirements. Our Interest Rate specialists will use their experience and market insights to provide the right solution taking into consideration the specific needs of your business.

Interest Rate Hedging aims to provide certainty over your interest costs, and regardless of how you choose to hedge your debt, speaking to our BOQ Financial Markets team will help you to understand your interest rate exposure to make the best decision for your business.

Interest rate risk management solutions

Interest Rate Swaps & Options

Interest rate swaps and options can be used by borrowers who have a desire to alter their interest rate or cash flow profile to suit their particular needs. They are commonly used to convert a borrower’s variable rate funding into fixed or capped rate funding.

Interest rate swaps and options are flexible to meet the specific interest rate hedging needs of your business. This can include customised start and maturity dates, interest payment frequency and variations in your required hedging levels.

Arranging an interest rate swap or option

A discussion with a Financial Markets specialist is required to determine if an interest rate risk management solution is suitable for your business. Should you choose to proceed, they will inform you of the steps to put the risk management solution in place.