We will be running the first Steel Hedging 201 Workshop, February 23-24, 2021 on our customized virtual platform
Steel Hedging 201: Advanced Strategies and Execution
Steel Market Update and Spencer Johnson, StoneX Group Inc., along with the CME Group, will be conducting a workshop for those who are actively involved in the buying or selling of steel. This is a continuing education course, which will go past introducing you to hedging and the terminology involved when dealing with financial derivatives, and to concentrate on defining strategies and the execution of trades involved with a specific end goal in mind.
Hedging Price Risk is a strategy executed by sophisticated buyers on a wide variety of products around the world. The hedging strategies come in various shapes and forms such as options (puts and calls), and combinations of physical steel, futures/swaps and options, etc.
Our expert, Spencer Onstot Johnson, has worked as an instructor in hedging and risk management for the steel industry, for over a decade, and has seen all shapes and sizes of hedge strategies and dilemmas. This more advanced workshop is designed to guide you through more detailed examples of these strategies and dilemmas so you can move beyond the knowledge of what you should be doing and build to actually executing on that knowledge.
Depending on the desired goal, a company will engage sales and or purchasing to coordinate with management and or finance/risk management to determine a strategy for the company’s risk profile. For example, if your company is interested in protecting inventory values then there are specific moves, and counter moves, that must be executed on a regular basis in order to achieve the end goal. In this workshop, we will explore specific strategies and practice the execution of trades through real world scenarios.
Participants will understand:
- How to develop a strategy based on your risk profile
- How to use futures and options to advance your marketing efforts without taking on more risk
- Real world examples of actual hedging scenarios
- How to make more effective linkage between financial and physical steel products
See the schedule here
This workshop will be held virtually on our tried and tested virtual event platform. The advantages of the virtual workshop are many, including the ability to watch segments both live and on-demand if you miss something, or want to re-watch a particular topic. There will be resources to download, live networking, and extended time to explore the workshop material and message the instructors after the live programming with more specific questions.