Crop Margin Management Seminar
This program is designed to help crop producers develop a marketing edge for their operation by managing their profit margin. Appropriate for all experience levels, this comprehensive two-day seminar encompasses a thorough review from fundamental background of the futures market–including terminology, order flow and margining topics–to position structure and management. The seminar also covers futures and options strategies that allow complete flexibility to optimize the profit in the operation.
CPE Credits: 16
Day 1 – 08/28/2012
Futures Market Fundamentals
An introduction to the futures markets, including terminology and mechanics. We will explore the role of the clearing service provider, regulation of the futures industry and the importance of the margining system to the integrity of the exchange. (2 CPE Credits)
The relationship between commodity futures prices and the price on the cash (spot) market, and an introduction to commodity price management.
(2 CPE Credits)
The obligations, benefits and other considerations of basis contracts and cash forward contracts, as well as the various alternatives to cash contracting, such as futures and options strategies. (2 CPE Credits)
Managing Price Risk
Using futures to hedge the risk of unfavorable movements in feed and hog prices. (2 CPE Credits)
Day 2 – 08/29/2012
Managing Basis Risk
Using futures spreads to manage the difference between cash and futures prices. (2 CPE Credits)
Adding Flexibility with Options
Using options to establish a risk/return balance that matches the needs of a given hog operation. We will explore the factors that contribute to the cost (premium) of an option and how to exploit the asset value of options to minimize net cost and maximize profit margins as markets change over time.
(2 CPE Credits)
Selecting the Right Strategy for Your Needs
A comparison of the impact on profit margins from various option strategies alone and in combination. We will work through several examples to illustrate the development of a hedge position, and the process of managing those positions over time. (2 CPE Credits)
Applying Concepts Learned
An interactive price management simulation to reinforce and test new skills. Participants will make several price management decisions over a marketing period and evaluate the resulting effect on net margins. (2 CPE Credits)
Registration fee includes breakfast, lunch, a Wednesday evening cocktail reception and all seminar materials. For more information, please call 1.866.299.9333.
NASBA Continuing Education Credits
Commodity & Ingredient Hedging, LLC is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be addressed to the National Registry of CPE Sponsors, 150 Fourth Avenue North, Suite 700, Nashville, TN, 37219-2417. Web site: www.nasba.org
Participants will be introduced to the mechanics of the futures and options markets and the terminology related to the futures industry. Participants will also learn how to utilize risk management strategies to manage commodity price risk.
You may want to review our educational site, Margin Manager.
If you prefer to enroll by phone,
please call 1.866.299.9333.
Dates & Time
Aug 28th – Aug 29th
8:30 A.M. to 4:30 P.M. daily
120 South La Salle Street, Suite 2200
Chicago, IL 60603