Industries

CIRM engages with our real estate clients to understand the risk profile that is specific to the unique project goals and stakeholder objectives. Based on this knowledge and understanding we create a custom risk management strategy for every project, focused on minimizing debt service over the life of the loan. We help clients with an array of critical decisions, such as: debt selection analysis, refinance or exit timing, project underwriting, and stress tested strategy outcomes.

Volatility and cash flow risk present some of the greatest challenges to the aircraft leasing industry. CIRM’s goal is to help improve yield and profitability in a competitive and volatile rate environment. CIRM develops strategies focused on reducing your cost of funds or lease rate. This is achieved through a hedging program tailored to the asset-specific metrics and interest rate index.

Managing unpredictable cash flows, variability in lease agreement structuring, and uncertainty of debt market conditions present major challenges for equipment lessors. CIRM’s approach is to develop strategies focused on preserving and increasing your yield by managing lease and debt alignment and reducing your cost of funds. This is achieved through hedging programs tailored to the asset-specific metrics and interest rate index.

CIRM works with a multitude of corporations and public companies, acting as a fiduciary and partner. We create interest rate risk mitigation strategies to help them achieve their overall investment goals. CIRM’s market data and insights inform our corporate clients and their stakeholders, so they are better equipped to meet their financial objectives. In addition, CIRM helps our corporate clients craft hedge policies, implement auditor-sensitive accounting practices, maintain regulatory compliance, and LIBOR transition plans. We work side-by-side on initiatives that promote awareness and action, enable broad adherence to new initiatives, and provide a general understanding of the regulatory and market landscape, all while supporting the company’s overall financial objectives.

Interest rate volatility can have a material impact on the success of a portfolio company and the Sponsor’s performance. CIRM’s approach with our private equity clients is to identify the risk appetite with the related investment or fund, and design risk management strategies that align with that level of risk tolerance, testing the performance strategies across a range of potential market scenarios. From there, we work with each portfolio company’s management team to refine the hedging program based on asset and fund requirements and to implement the hedge strategy. After a risk management strategy is implemented, CIRM provides ongoing monitoring and oversight via quarterly touchpoints to re-evaluate project goals, recapitalization opportunities, and current market conditions.