Hedging with Helen: How to Set a Budget Rate
Today, I’d like to talk to you about the use of a budget rate and how to set the budget rate.
Today, I’d like to talk to you about the use of a budget rate and how to set the budget rate.
Businesses mired down by the impacts of COVID-19 are facing enough difficulties. But the march to LIBOR’s end has continued unabated.
As many of our readers already know, SOFR (Secured Overnight Financing Rate) has been selected by the Alternative Reference Rates Committee of the Federal Reserve to replace LIBOR in 2021.
Do you need to implement a cash flow hedge program quickly — either due to urgent management directives, Board member mandates, or competitive pressures? It happens all the time, leaving treasurers and decision-makers to scramble to come up with the right solution.
There has been some confusion around the ASC 815 rules set regarding effectiveness assessments and probability assessments.
With interest rates near all-time lows, many companies are starting to worry about the effectiveness of their current hedges when they aren’t perfectly matched to the underlying debt, while others are looking to lock in the favorable rates by entering into hedges or extending the length and/or amount of hedge coverage for existing hedges.