Insights

At the beginning of April, Chatham Financial named Matthew Tevis the Managing Partner and Global Head of Financial Institutions.

Excess liquidity is a challenge currently facing many financial institutions. Some are deploying this liquidity by extending duration via the bond and loan portfolio. In the process, they are introducing additional rate risk, but accepting this risk isn’t necessary.

Bob Newman interviews Kish Bank CFO Mark Cvrkel who shares how embracing and installing derivative capabilities at a $1 billion bank was simpler than expected. The conversation uncovers three benefits that favor the use of traditional swaps over indirect programs.

In this short video Ben Lewis discusses how derivatives help banks remain competitive in an increasingly unpredictable market by introducing the difference between traditional and indirect interest rate swaps.

In this video hear what interest rate swap exposure is and the relevance to the loan underwriting.

Chatham can assist you with managing rate risk, growing loan portfolios, and enhancing earnings. We are the largest independent hedging advisory firm with decades of experience.

As a completely independent firm, Chatham partners with clients to implement integrated solutions, tailoring our focus on advisory and technology in order to meet the needs and goals of your financial

Help commercial customers make informed financing decisions by offering market-based, flexible, and transparent fixed rate solutions.

You launched a customer swap program for your financial institution. You may have one swap, or many swaps, under your belt and you want to understand just how successful your program has been.

This video discusses how Interest rate risk is embedded in every financial institution’s balance sheet. Board members should encourage their management teams to consider adding derivatives to their tool kit.

Learn how to help your commercial customers understand why an interest rate swap makes sense.

Hedge accounting can be challenging to “get right” and tough to apply, so designing an effective hedging strategy and achieving the intended results is important for financial institutions.

This video outlines how interest rates impact the typical bank, and explains the board’s role in mitigating interest rate risk.

Learn about the hedge accounting considerations and impacts for loan deferrals as it relates to the COVID-19 pandemic.

Highlights and analysis of the ASU 2020-04, Reference Rate Reform (ASC 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.

An interest rate swaption is an option that provides the borrower with the right but not the obligation to enter into an interest rate swap on an agreed date(s) in the future on terms protected by the swaption.

An interest rate swap and floor is a combination of an interest rate swap with the purchase of an interest rate floor.

A participating interest rate swap is a derivative instrument that combines an interest rate swap with an interest rate cap. A portion of the debt is hedged with a swap and the remainder with a cap.

A cancellable swap is a combination of an interest rate swap and a receiver’s swaption that may be cancelled by the borrower at no cost on an agreed future date.

An interest rate collar is an option used to hedge exposure to interest rate moves. It protects a borrower against rising rates and establishes a floor on declining rates through the purchase of an interest rate cap and the simultaneous sale of an interest rate floor.

What financial institutions need to know about the revisions to the Volcker Rule.

A borrower swap program is a tool to help banks compete for long-term, fixed-rate loans. Success starts with identifying goals, deciding how to resource, and building the program.