Beat the Spread - A Strategy to Secure Low-Cost Funding

posted on Friday, November 25, 2016 in Strategies

Brett L.A. Manning, CFA, Vice President/Director Member Strategies
Brandon Casey, Business Development Analyst

If your institution is in the market to lock in long-term funding, can handle the accounting implications of using derivatives, and is looking to find the absolute lowest funding cost possible, the “Beat the Spread” strategy might be for you.  By combining a long-term plain vanilla fixed rate swap with rolling short-term FHLB Des Moines advances, your institution can lock in funding well below typical advance rates.

In this whitepaper, you'll learn:

  • The advantages of utilizing a Beat the Spread strategy with FHLB Des Moines
  • An execution plan for your institution on implementing the strategy
  • Funding options for long-term financial success.

Download our whitepaper hereLearn more about our funding strategies and how to position your balance sheet.


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