Activities, tasks and objectives

The first objective of Long Term Interest Rate (LTIR) is to serve all internal departments (Sales-, Credit-, Structured-, Proprietary- , ALM-Desk) with competitive prices in all non-structured OTC-products, in all major currencies as well as in the growing Eastern European currencies. In this position we consider us to be the gate to the external market participants.

We offer prices for the following interest derivatives ‘over the counter’-products exceeding a maturity of two years:

• Interest Swaps (In Advance, In Arrears, Forward starting)
• Swaptions (Options on Swaps)
• Caps and Floors (Strip of options on Forward Rate Agreements)
• Cross Currency Swaps
• Constant Maturity Swaps

Our goal is to concentrate all internal demands/cash flows in non-structured interest rate derivatives for generating a competitive price and risk management.

Our second objective is to run trading and banking books. We actively take market risk. Our market making generates the chance to serve customers with attractive swap axis dependent on our positions in the major currencies. The continuous process of position taking gives us the possibility to always stay in touch with the markets - rates and volatilities. Every trader is specialised in different markets and products, which allows us to build professional skills on highest level.

Our third objective is to represent the competence center for interest rate derivatives. In this functionality we support all internal departments in specific questions concerning the markets and products, pricing and risk management.