In collaboration with CRU. The course presents the entire process involved in managing price risk and includes information on how price risk is created, how to quantify the margin impact, the setting of hedge objectives, appropriate authorisations, internal controls and proper measurement of the risk management process.  Concepts will be presented in terms of practical application so participants can apply to their own company situations.

Objectives:

• Understand price risk management from a process perspective

• Understand the difference between hedging and price risk management

• Illustrate the relationship among the commercial, purchasing, financial functions in the process

• Learn the practical application of concepts which will allow participants to implement process upgrades to their own existing programs provide a template to establish a price risk management programme 

Programme

Price Risk Management – Overview   - What is Price Risk Management?   - How does it differ from hedging?   - The Price Risk Management Process

How is price risk created?   - Producers   - Processors   - Consumers

Identification of different types of price risk   - Transactional   - Commercial   - Discretionary   - Strategic

Management of price risk by risk type : Practical examples   - Transactional   - Commercial   - Discretionary   - Strategic

Authorization/control of a Risk Management Process   - Policy/Procedures   - Internal Controls   - Analysis of Major Control Breaches

Results Measurement   - Establishing a feedback mechanism   - If you can’t measure it, you can’t control it

Questions and answers

Date	Location	Venue	Time
14/10/2008	London	The London Metal Exchange, 56 Leadenhall Street, London, EC3A 2DX	8.30am-1pm	Book now

Course fees
Per delegate N.B. Please note that a 17.5% VAT rate will be added to all the courses taking place in the UK	£300
Early-bird discount N.B. Please note that this discount only applies when booking 60 or more days prior to the day of the course	10%
Additional delegate discount N.B. please note orders must be placed simultaneously for the discount to apply	£20

Fees include all course materials, lunch and refreshments.

All registration fees must be paid prior to the event.

Please note that the dress code is smart casual.

All LME courses are delivered in English unless otherwise stated.

Further information

Click here to view all LME course dates in 2008 and to book your place online. 

For more information about this course and other LME training courses, email lme.education@lme.com or telephone +44 (0) 20 7264 5555.