Steel Hedging 101 Workshop: How to Protect Against Market Risk

The Steel Hedging 101: Introduction to Managing Price Risk Workshop will be run virtually on March 30-31.

This workshop will help you to understand:

• What “hedging” is and why so many companies do it
• What makes hedging in steel different versus other commodities
• The structure of the market and the mechanics of how trades are executed
• The costs and risk involved

Led by our hedging and metals expert, Spencer Johnson of StoneX, this workshop will benefit anyone who is looking for a concise introductory or refresher course.

You can attend the Steel Hedging 101 Workshop for just $1,250 per person. Don’t forget, SMU/CRU subscribers can save $100 plus an additional $100 per person for companies who register two or more people for the same workshop

About the event     Schedule     Instructors     Delegates     Register     Book now

Agenda at a glance:

Introductory Hedge Concepts

• Why Hedge?
• Hedge Practices
• Facilities Futures/OTC Markets
• Understanding Risk

Structure of Trading

• Margin
• Clearing
• Settlements

Structure of Trading Terminology
(Language/Definitions of Futures Trading Concepts)

• Forward Curves and Current Markets
• Backwardation vs. Contango Markets

CRU to Speak on HRC Index

• CRU’s methodology
• How people use CRU U.S. Midwest Hot-rolled Coil Index

CME – What are futures and how does the exchange work

Futures / Swap Hedge Strategies

• Life of the Hedge from conception to completion
• Step One – Financing the trade
• Step Two – executing the trade
• Step Three – clearing the trade
• Step Four – settling the trade
• Ongoing Step – adjusting for basis risk

Practical Hedge Examples

• Vanilla Inventory Hedge
• Arranging a Fixed Price Sale
• Hedging a Forward Purchase
• Spread Trading
• Arbitrage

Next Steps

• Examples
• Opening an Account
• Costs to Trade
• Selecting a Broker, Bank, Etc.

Click here to secure your place