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Advanced Steel Hedging: Strategies and Execution Course

Steel Market Update and Spencer Johnson, StoneX Financial Inc. – FCM Division, along with the CME Group, will be conducting this 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, 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.

"Outstanding course. Real world situations were to the point, in layman's terms. Enjoyed the live interactions and discussions. A course any experienced steel buyer, steel seller, and CFO needs to take. Great job to SMU on educating the steel community. Hedging is a very large part of our strategy, in our business model. We commit to customers for six months upwards to a year in pricing. So the only way we can drive the risk out in this volatile market, is to hedge." - Chris Shipp, VP of Strategic Partnerships, Reibus (formerly Priefert Steel)

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Objectives

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 a more effective linkage between financial and physical steel products

See the schedule here


Virtual learning

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.

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Advanced Steel Hedging: John Packard, Publisher and Founder, SMU

Attendees who joined the last course included:
  • Category Manager
  • Chief Commercial Officer
  • Commodity Leader
  • Controller
  • Director of Finance
  • Director, Supply Chain
  • EVP, Corporate Finance and Investment Planning
  • Founding Partner
  • GCM
  • General ManagerJefe Marketing Institucional Glob, Marketing Institucional
  • Manager/Risk Specialist
  • President
  • President & CEO
  • President & COO
  • President/CEO

  • PrincipalPurchasing Manager
  • Sales Manager
  • Sales Manager-Automotive
  • Senior Commodities Manager
  • Steel Sourcing Manager
  • Vice President
  • Vice President - Business Development
  • Vice President - Supply Chain
  • Vice President - Supply Chain Management
  • Vice President & General Manager
  • Vice President Finance & CFO
  • Vice President Mexico Operations
  • VP & COO
  • VP of Manufacturing & Steel Sales