Interest rate options – CAP and FLOOR

Protection against interest rate fluctuations

  • Products supported actively on Euribor, Robor, Libor


  • the Company can use two types of interest rate options:
    • interest rate CAP – Used as protection against an increase in the interest rate
    • interest rate FLOOR– Used as protection against an decrease in the interest rate
  • The product can be correlated with the schedule of an investment loan or of a revolving credit line
  • Interest rate options require advance payment of a premium and provide the right, during the course of the transaction, to collect differences in interest from the bank, according to the scenarios agreed. By combining the two types of option, you can obtain a zero-cost structure (COLLAR) which limits interest rate fluctuations at a pre-agreed interval
  • Certain formalities are required to undertake this transaction

Additional information

For more information on the “Interest rate options” service, please contact the sales team at the e-mail address.

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