Corpay
Interest Rate Hedging-1

Interest Rate Hedging

Corpay Private Markets provides structured interest rate solutions that help investment managers handle exposures with confidence. Our team works with private equity, private credit, real estate, infrastructure and venture capital clients to design hedging programmes that align with deal structures, fund mandates and the economic profile of each transaction.

A strategic approach

At no upfront cost or commitment, one of our interest rate risk specialists will review your loans, projected cash flows, and broader commercial objectives to analyse your interest rate exposure.
From there, we design one or more strategies using detailed scenario testing to demonstrate how each approach performs under different market environments, helping you identify the most effective solution for your business.

Fast, competitive execution

When you’re ready to execute, Corpay leverages its strong cash position and wholesale market access to secure competitive hedging terms and operational flexibility.
We offer:
  • Facilities typically delivered in under 48 hours
  • Execution via LFC or ISDA agreements
  • Optimised collateral structures designed to protect cash flow
  • Pricing transparency and institutional pricing power
Many clients choose Corpay purely for execution, using our facilities to improve their cash flow certainty and reduce financing costs, even when strategy design is handled in-house.

Why Private Markets companies work with us

Specialist Knowledge

All strategies are delivered by dedicated interest rate risk specialists with extensive experience helping corporates and private market firms manage interest rate exposure in changing market conditions.

Flexible Collateral Terms

Our capital strength enables us to offer attractive and flexible collateral terms, giving you the certainty you need without constraining cash flows.

Clarity and Transparency

We provide a clear breakdown of each structure, including risks, pricing, and scenario behaviour, so you can feel confident there’s value in working with us.

Speed and Responsiveness

Despite our scale, we serve a focused client base – enabling us to provide fast, proactive service, with facilities available in under 48 hours, even for new clients.

Hedging instruments we provide

Interest Rate Swaps

Swap the variable rate on your loan to a fixed rate, or vice versa. Swaps can be used for individual loans or across your entire portfolio.

Interest Rate Caps

Cap the maximum rate on your loan, protecting against rising rates while retaining the ability to benefit if rates fall.

Interest Rate Collars

Set both a floor and a cap on the rate, ensuring your variable rate remains within a pre-agreed range for a defined period.

Cross-Currency Swaps

Simultaneously hedge both interest rate and currency risk by exchanging principal and interest payments between two currencies.

By submitting your information through this form, you agree to receive a telephone call or email from a Corpay representative. Your information will be used in accordance with our Privacy Policy.

Could FX volatility distort your fund's performance?

Corpay offers private markets practictioners independent perspective, and smart solutions to manage fx risk across global financial hubs, from London to Luxembourg and Sydney to Singapore and points in between. Let's chat.