here is an idea for everyone when you are visiting with your clients or talking about the "renewal caps/rate". At the time of issuance and every anniversary write down in the client file the current 10yr T-Rate. If the cap decreases you can explain how that works and if the cap increase you can explain it that way too.
Returns on EIA's: i tell my people the expectations are about 2+% higher then the "current" 10yr treasury at the time issuance.
These charts just reflect the percentage of the upside that needs to be captured in order to equal the return of the overall market based on what percentage of losses are avoided. Here is another
here is an idea for everyone when you are visiting with your clients or talking about the "renewal caps/rate". At the time of issuance and every anniversary write down in the client file the current 10yr T-Rate. If the cap decreases you can explain how that works and if the cap increase you can explain it that way too.
Returns on EIA's: i tell my people the expectations are about 2+% higher then the "current" 10yr treasury at the time issuance.
