Advanced Training in Commodity Economics & Finance - Trading Commodities and Hedging Strategies for Producers/end-Users
OCP Policy Center, Rabat.
This course aims to describe how a typical commodity industry works, and to elucidate how risks could be diluted between producers, end-users, smelters and traders. In addition to that, it is an introduction of futures contracts, highlighting their peculiarities and showing how they can be used to set up both fix-price and offset hedging strategies
Understanding of :
• Commodity industries (agriculture, mineral and metals and energy) exposure to price risk;
• The uses and market functions of commodity financial derivatives, especially futures contract;
• Concepts of hedging (fix-price hedging vs offset hedging) and speculation Be able to;
• Define hedging strategies with derivatives;
• Compare relative performances of various financial instruments and hedging strategies.
Dr Yves Jégourel is associate professor in finance at the University of Bordeaux (France), and a research fellow at OCP Policy Center. Y. Jégourel conducts research in commodity economics and financial risk management. His most recent research examines the link between the volatility of the futures market, exchange rate uncertainty and the export of cereals.