Pricing strategy options generally chosen to complement one of our standard products and further define a customer’s market risk profile.

The goal of caps and collars is to allow market participation, with measured risk in exchange for a minimal premium, usually built into the scope of a larger transaction. 

A cap establishes an upside limit (ceiling) that will not be exceeded, but allows for downside market participation. A collar has a cap element, but adds a downside limit (floor) to essentially establish a bandwidth for participation in the market. In each case, these options allow the possibility of enhanced market opportunities, with a moderate measure for controlling risk.
   
These product options are generally elected as a complement to one of our standard products, and serve to further define the customer’s market risk profile.