The more variable-rate debt a company has, the less control it has over the impact interest rate fluctuations can have on its costs, cash flow and profitability. Our interest rate risk management solutions enable companies to fix their interest rates over a period of time to provide greater certainty, predictability and protection.
Knowledge
All of our strategies are delivered by a dedicated interest rate risk management specialist, with over a decade’s experience helping corporates and institutions manage interest rate risk across a variety of different environments.
Speed
Despite our size, we work with a relatively small number of corporates and institutions, enabling us to provide a fast and proactive service, with facilities provided in under 48hrs, even for new clients.
Flexibility
With over £140m in net assets and just over 1,000 clients, we are able to provide attractive and flexible collateral terms to ensure you can gain the certainty you require without compromising your cash flows.
Transparency
Integrity is everything at Alpha, and we pride ourselves on providing a clear breakdown of how each approach works and the costs involved, so you can decide upfront whether there’s value in working with us.
A strategy built for you
At no upfront cost or commitment, an interest rate risk management strategist will review your current loans and cash flows as well as your business objectives in order to analyse your risk exposure. From here, we will devise one or more strategies, using scenario testing to demonstrate their effectiveness across a range of different environments in order to identify the most optimal strategy for your business.
Well-executed
When the time comes to execute your strategy, we will use our strong cash position and wholesale buying power to optimise the collateral and pricing on your hedges. We can provide facilities in under 48hrs, and are also able to execute under long-form confirmations (LFC) or ISDA agreements upon request.
Our execution services are focused on improving cash flows whilst reducing costs. Indeed, we work with a number of clients who do not require our strategic consultancy, but still choose us based on the flexibility and competitiveness of our facilities alone.
Products
Interest Rate Swaps
An interest rate swap enables you to ‘swap’ the variable rate on your company’s loan to a fixed rate, or vice versa. This can be used to hedge individual loans or your entire portfolio.
Interest Rate Caps
An interest rate cap enables you to ‘cap’ the rate on your loan to ensure it won’t exceed a pre-agreed level if rates go up, but will still decrease if rates go down.
Interest Rate Collars
An interest rate collar enables you to ensure the variable rate on your loan remains within a pre-agreed range for a pre-agreed time period.
Request a consultation.
To find out more about our solutions and to discuss how we can potentially support your business, please use our contact form and a member of our team will be in touch.
