Interest Rate Hedging

CIBC's Capital Markets team is active in all major indices including LIBOR, Prime and SIFMA. Additionally, when working with us, you have:

  • Protection against rising rates: Establish a known worst-case interest rate for the life of your hedging transaction
  • Flexibility: Enables borrower to hedge any portion of their debt to achieve desired fix/float mix, lock in a rate today for future funding date, etc.
  • Cost-effective: Enables borrower to achieve fixed rate funding at rates which are often lower than conventional fixed rate financing
  • More favorable pre-payment: Allows client to achieve more favorable prepayment terms than a conventional fixed rate loan

The CIBC’s full suite of hedging products includes:

  • Vanilla Swap
  • Cancellable Swap
  • Forward Starting Swap
  • Step-Up Swap
  • Cap
  • Corridor
  • Collar

For more information contact:

Abby Farrell
Executive Director and Lead, Interest Rates and Commodities