Important Message
Important Message

Fixed Price Swaps


Lock in your future prices for buying or selling commodities

A consumer of energy can use a swap to lock in a fixed price for energy inputs for a future time period. A producer can use a swap to lock in a fixed price for selling their production.

  • No upfront fees.
  • Designed to meet each client’s needs

Here is how a Swap works:

  • Work with Associated Bank to determine the level of protection you need.
  • No upfront premium.
  • For consumers if the market price settles above the Swap price Associated Bank makes a payment to you. If the market price settles below the Swap price you make a payment to Associated Bank.
  • For producers if the market price settles below the Swap price Associated Bank makes a payment to you. If the market price settles above the Swap price you make a payment to Associated Bank.

Swaps give consumers and producers of commodities price stability and allow for business planning:

  • Know the commodity price for the hedge period with certainty.
  • Automatic exercise for each monthly settlement.

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