Ann: Change of Director's Interest Notice - G Wilson, page-11

US interest rates have risen from 1.5% to 1.75% while Australia's has stagnated at 1.5%.

Australian banks borrow a significant amount from overseas which means a rise in overseas rates should signal pressure on Australian banks to raise their rates.

ALF has, as of 18 February, 93.9% in cash. This means that for each full percentage point interest rates rise ALF will make just under 1% profit over what its long & short portfolios produce.

This is the stock to own as a hedge against interest rate rises.