Why Banks Hedge

Why Banks Use Hedges, Swaps or ARC

This educational video was designed to give banks an introduction to what hedging can do for a bank and for a bank's customer in addition to managing their respective asset-liability position. CenterState Bank utilizes the Assumable Rate Conversion ("ARC") program to drive loan growth and makes the program available to all community banks nationwide. The ARC program allows banks to provide a fixed rate loan to their customers while receiving a floating rate asset - all without hedge risk or compliance. 

 

 

More information about the ARC Program can be found HERE