Correspondent Blog
Tag: Term Structure of Rates
08/28/23
The Term Structure of Rates and Its Impact on Commercial Borrowing
Bankers need to consider the term structure of rates, also known as the yield curve shape, when structuring and pricing commercial loans to maximize return and reduce risk. Many bankers and borrowers are convinced that a recession is imminent, but the current term structure of rates does not necessarily establish this conclusion. The yield curve’s…