When: Tuesday 18 April 2023 - Thursday 20 April 2023
Where: London
Price: £2090 + VAT
Day 1
- History, organisation and primary services of the LME
- Pricing methodology
- Introduction to hedging
- Prompt date structure and other LME terminology
- LME contracts
- Warehousing and fundamentals of delivery
- Understanding the role of an LME broker/dealer
- Clearing and LME Clear
- Regulation of the LME
Day 2
- Overview of the LME market
- Basic concepts, uses and benefits of hedging with futures
- Introduction to risk and price volatility
- Long, short, transactional, and strategic hedges
- Costs of hedging
- Carries
- Using the right hedging instrument
- Hedging with Monthly Average Futures
- Hedging workshops
Day 3
- Basic concepts, uses and benefits of hedging with an options contract
- Options terminology
- Put and call options
- Risk implications and motives
- Hedging futures vs. options
- TAPOs
- Options workshops
- Option pricing
- Hedging combinations
- Zero cost strategies
Learning Outcomes
- Become familiar with the LME's prompt date structure and trading procedures
- Gain a full understanding of the LME's market terminology
- Understand the benefits of the delivery process used by the LME
- Gain and understanding of the role of LME Clear
- Learn how to access the LME through member firms
- Understand how effective price risk management can be achieved with LME services
- Gain an understanding of the benefits of hedging with futures and options across all sectors of the industry