Reintroducing Putable Advances, Fixed-Rate Advances with SOFR Cap and ARC Advances with Cap/Floor

The Federal Home Loan Bank of New York (FHLBNY) is pleased to reintroduce Structured Advances to give members more flexibility and options to better manage their balance sheets. These Structured Advances were temporarily suspended as a result of LIBOR cessation. However, as a result of significant evolution of the Secured Overnight Financing Rate (SOFR), we are now reoffering our members Structured Advances using SOFR-based hedges on a limited basis. Initially, Structured Advances will be limited to $3 billion in aggregate volume, with a $2.75 billion* per member limit, available on a first-come, first-served basis.

Putable Advances are Fixed-Rate Advances where the FHLBNY retains the option to extinguish the Advance at specified times (either one-time or quarterly option). Since the member gives the FHLBNY the option to “put” back the Advance, Putable Advances are priced very attractively and may be a solution for members to lower their cost of funds.

Putable Advance Attribute
Minimum Term	2 years
Maximum Term	10 years
Lockout	≥1 year
Option	European: 1 time Bermudan: Quarterly
Accrual Method (Day count)	Actual/360
Payment Frequency	Quarterly
Business Day Convention	Following
Minimum Advance Amount	$1 million

Fixed-Rate Advances with SOFR Cap can assist members in a rising rate environment where a cap with a specified threshold is chosen when booking the Advance. If SOFR rises to the point where it surpasses a specified threshold, the Advance would reprice downward, on a quarterly basis. The Fixed-Rate Advance with SOFR Cap is ideal to reduce interest expense when short-term rates rise sharply.

Fixed-Rate Advance with SOFR Cap Attributes
Minimum Term	1 year
Maximum Term	10 years
Accrual Method (Day count)	Actual/360
Payment Frequency	Quarterly
Business Day Convention	Following
Interest Calculation	Compounding Only
Minimum Advance Amount	$5 million

Adjustable Rate Credit (ARC) Advances with Cap/Floor can help limit exposure to rising and falling interest rates by using embedded options (caps/floors). Caps give members flexibility to limit the maximum coupon of an ARC if rates rises, while adding a floor helps members obtain an advantageous level on an ARC by limiting how low the coupon could fall in a declining rate environment. Members may also create a corridor where they could add a cap and a floor to limit the variability of an ARCs coupon to a specified band.

ARC Advance with Cap/Floor Attributes
Minimum Term	3 months
Maximum Term	30 years
Accrual Method (Day count)	Actual/360
Payment Frequency	Quarterly
Business Day Convention	Modified Following or Following
Interest Calculation	Compounding or Simple Average
Minimum Advance Amount	$5 million

If you are interested in our Structured Advances or would like more information, please contact your Relationship Manager at (212) 441-6700 or the Member Services Desk at (212) 441-6600.

*At the FHLBNY’s sole discretion, structured advance parameters may potentially be adjusted based on market conditions. Please consult with the Member Services Desk.

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This report may contain forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These statements are based upon our current expectations and speak only as of the date hereof. These statements may use forward-looking terms, such as “projected,” “expects,” “may,” or their negatives or other variations on these terms. The Bank cautions that, by their nature, forward-looking statements involve risk or uncertainty and that actual results could differ materially from those expressed or implied in these forward-looking statements or could affect the extent to which a particular objective, projection, estimate, or prediction is realized. These forward-looking statements involve risks and uncertainties including, but not limited to, the Risk Factors set forth in our Annual Reports on Form 10-K and our Quarterly Reports on Form 10-Q filed with the SEC, as well as regulatory and accounting rule adjustments or requirements, changes in interest rates, changes in projected business volumes, changes in prepayment speeds on mortgage assets, the cost of our funding, changes in our membership profile, the withdrawal of one or more large members, competitive pressures, shifts in demand for our products, and general economic conditions. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to revise or update publicly any forward-looking statements for any reason.