Union Bank of California
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Manage Risk
             
Sudden changes in interest rates can drive up funding costs, disrupt cash flows, and compromise your competitive position. Union Bank's hedging instruments are designed to limit your interest rate exposures. Available on London Interbank Offered Rate, prime, and other major indexes, these derivatives include:
  • Interest rate swaps -- Exchange a series of future interest payments until a specified maturity date
  • Interest rate caps -- Protect buyers against a rise in floating interest rates for a premium
  • Interest rate collars -- Simultaneously purchase a cap and sell a floor for a reduced premium
  • Interest rate swaptions -- Protect buyers against a rise in swap rates for a premium
  • Cross-currency swaps -- Exchange a series of future interest payments in two currencies until a specified maturity date

We offer a range of risk management tools and strategies to help you optimize profits without jeopardizing earnings or capital. These products:

  • Identify and quantify your financial exposure
  • Determine how much risk you are willing to tolerate
  • Meet your particular risk reduction goals
  • Are cost-effective
  • Include competitive pricing, timely execution, and personalized follow-up

Protect your business from interest rate fluctuations. For more information on interest rate management, contact your Union Bank Relationship Manager or call us at 1-213-236-6488.

Hedging and foreign exchange instruments are not bank deposits, are not guaranteed by any government agency, and involve risk, including the loss of principal.

© 2008 Union Bank of California, N.A. All rights reserved. Member FDIC.
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