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

last updated on Monday, April 20, 2020 in Strategies

Brett L.A. Manning, CFA, SVP/Director, Funding Product Group
Brandon Casey, VP / Member Strategies

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, and
  • Funding options for long-term financial success.

Download the Whitepaper


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