A savings and loan association has long-term fixed rate mortgages supported by short-term funds.A put option on Treasury bond futures could be used to (ignore the premium paid for the option when you answer this question)

Question

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A put option on Treasury bond futures gives the holder the right, but not the obligation, to sell Treasury bond futures at a specified price on or before a specified date. If interest rates rise, the value of Treasury bond futures will fall, and the holder of the put option can exercise the option to sell the futures at a higher price than the market price, thereby locking in a profit. This profit can be used to offset the losses on the savings and loan association's long-term fixed rate mortgages, thereby maintaining its interest rate spread.

A Savings and Loan Association Has Long-Term Fixed Rate Mortgages