
November 16, 2023
Natural, Synthetic, Go Now, Not Yet: Exposure to Floating Rates
Corporates weigh when to swap fixed-rate debt to floating as inflation cools and the rate outlook shifts. Growing conviction that the Federal Reserve is at the end of its interest rate hike cycle and may cut rates next year has turned up the heat on the simmering issue of whether and when corporates with debt should swap some of their fixed-rate exposure to floating rates. Many companies in the NeuGroup Network say nearly all their debt is fixed—a byproduct of very low…