Interest Rate Management
Interest rates movement can substantially affect the company's income; hence, managing this risk is significant.
Our Treasury Center manages its residual open interest rate exposures, taking advantage of any offsets that arise between positions from different sources, within its approved market risk limits. The preferred risk management instrument is interest rate swaps, for which there is a liquid and flexible market.
In order to help the clients to arrive with an effective strategy, active interest rate management was launched. This service enables the clients to minimize interest rate risks and exploit opportunities to reduce interest expenses. This service would benefit you whether you aim for a safeguard against falling or rising interest rates to reassess any previous financing decisions in light of a change in market conditions or generate additional interest income.
When advising clients, PSSIB strictly adheres to our philosophy:
- Integral and customized solutions
- Interest rate management, not speculation (there should always be an underlying transaction)
- Thorough advice (i.e. we proceed with the transaction only when all your questions have been answered)
- Active advice in the event of changes in market conditions or the company's situation
- Local support - your relationship manager is always close at hand
