Hedging in Fairways Debt presents the relationship of the actual debt and the risk hedging transactions.
- Log in to your Fairways Debt account and select a customer account, if relevant.
In this example, we log in to the Main City account.
- Navigate to Applications
> Debt & Derivatives > Hedging.
The hedging overview displays.
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Indicator |
Description |
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Outstanding Derivative Notional |
Total notional amount of all the outstanding derivatives in the actual portfolio. |
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Floating Outstanding Balance |
Total balance amount of all the outstanding floating-rate transactions in the actual portfolio. |
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Hedged Amount |
Total notional amount of the derivatives associated with at least one hedged transaction. In this example, the hedged amount is EUR 5 000 000. We add up the notionals of all derivatives displayed in the Associated list: 2 000 000 + 3 000 000 = 5 000 000
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Unhedged Amount |
Total notional amount of the derivatives associated with no hedged transaction: Outstanding Derivative Notional - Hedged Amount
In this example, the unhedged amount is EUR 1 000 000. Outstanding Derivative Notional - Hedged Amount = 6 000 000 - 5 000 000 = 1 000 000
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Portfolio Hedged Ratio |
Ratio between hedgeable amount (notional) and amount to hedge (balance): Outstanding Derivative Notional / Floating Outstanding Balance * 100
In this example, the portfolio hedged ratio is 150%. Outstanding Derivative Notional / Floating Outstanding Balance * 100 = 6 000 000 / 4 000 000 * 100 = 150%
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Description |
Options |
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A |
Display:
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B |
Group transactions to sort them in the list. |
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