I need to...
Get to know what you should be aware of when deciding to buy a car, build a house, investing for your retirement and many other activities.
An Interest Rate Derivatives allows you to hedge your interest rate exposures.
Interest Rate Swap- IRS, is an agreement between two counter parties to exchange fixed rate interest payments for floating rate interest payments or vice versa, calculated using an agreed notional principal amount.
Swaps are contractual agreements to exchange or swap a future stream of cash flows.
Interest rate swaps allow the user to switch their effective liability from floating to fixed and vice versa.
Cap/Floor strike is negotiable
Upfront premium payable.
The Seller of the Cap agrees to compensate the Buyer, whenever a reference interest rate (e.g. LIBOR) exceeds a pre-agreed level (Cap Rate) for a period at specified intervals. Premium is payable upfront and calculated using an agreed notional principal amount.
The Seller of the Fllor agrees to compensate the Buyer, whenever a reference interest rate (e.g. LIBOR) fixes below a pre-agreed level (Floor Rate) for a period at specified intervals. Premium is payable upfront and calculated using an agreed notional principal amount.
Any customer who is holding a proper underlying transactions and having a good understanding about products in this nature is eligible to apply for Interest Rate Derivatives.
Please contact the Treasury Dealing Room on +8802 9896048, 9896049 or +8802 9896046, 9896310 for more details
Terms & Conditions apply
Product information and terms & conditions are subject to change from time to time. Therefore, it is advisable to contact the branch nearest to you for the latest information and prevailing terms & conditions.