Corporates pre-hedge future bond sales as inflation rises

Companies are making the most of low rates while they last and hedging issuance that’s years away

Corporates-pre-hedge-to-lock-in-low-interest-rates montage

Corporate borrowers are rushing to lock in record-low interest rates by pre-hedging future debt issuance – in some cases five years ahead – as surging inflation sparks concerns major central banks will soon abandon their “lower for longer” mantra.

“What investment-grade corporates are really worried about is increases in inflation impacting the market’s view of where long-term yields should be,” says Amol Dhargalkar, head of non-financial corporations at Chatham Financial, which provides risk

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here:

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: