INTEREST RATE SWAP (IRS, CCS)

PRODUCT INFORMATION

Interest Rate Swap (IRS)

IRS is an agreement on the swap of a fixed interest rate for a floating rate between two counterparties in one currency. The floating interest rate is always fixed for each partial period based on a benchmark rate (PRIBOR, EURIBOR, LIBOR, etc., mostly for 1M, 3M, 6M). This tool serves as a hedge against adverse interest rate movement. The transaction is always agreed for a specific period of time (from 1 to 30 years).

Cross Currency SWAP (CCS)

CCS is an agreement on the exchange of interest rates in different currencies – a fixed or floating interest rate in one currency is swapped for a fixed or floating interest rate in another currency. Principal is swapped or not depending on the client’s needs. This tool serves as a hedge against adverse interest and foreign exchange rate movement. The transaction is always agreed for a specific period of time (from 1 to 30 years).

• IRS-like operations are similar to standard deposits or loans. The difference is that it is an agreement on a future interest rate
• IRS and CCS can be arranged with maturity of up to 30 years
• All Treasury products can be arranged in a single agreement.
• Trades can be arranged with Treasury staff by phone
• Our trader are available daily between 8:30 a.m. to 5:00 p.m. on business days, our electronic trading platform RoBoT then from 7:00 a.m. to 6:00 p.m.

What do you need to arrange an Interest Rate SWAP?

• You need to sign a Treasury Master Agreement with Raiffeisenbank
• You need to notify Raiffeisenbank of your Legal Entity Identifier