André Marshall, CEO
Crunch Risk, LLC
President and founder of Crunch Risk, LLC, a Risk Management and Brokerage firm specializing in Steel Futures. Mr Marshal has over 20 years of commodity
trading and financial risk management experience. Mr Marshall has worked as a physical metal/mineral trader for various European firms including Sogem running their New
York trading operations. Recently, Mr Marshall has originated derivatives for Koch Supply & Trading and subsequently started his own firm in 2005.
Price Volatility & Hedging Steel Price Risk
A Workshop For Active Steel Buyers & Sellers
Understanding Futures & Swaps
September 29, 2011
CME Group Chicago, IL
"Overall, it was a great presentation of how and why companies would use steel futures contracts to manage risk and take advantage of opportunities. Andre pulled the pieces together in a way the participants could understand to make an educated decision about whether and how these products are beneficial for them."
- Ben Abrams, Consolidated Scrap
Steel Market Update and Andre Marshall, CEO of Crunch Risk LLC, are conducting a workshop for those who are actively involved in the buying or selling of steel. Our workshop is tailored for those looking to hedge price risk, protect margins, protect inventories, or offer long-term pricing to their customers.
- What is “Hedging,” and how is steel different from other metals?
- What are the benefits to using financial instruments vs. taking a long inventory position?
- How does “Liquidity” affect the market?
- What are the costs involved, and how do I minimize costs and maximize returns?
- What is the Forward Curve?
- When does the market not work for you?
- What is the difference between “Futures” and “Swaps”?
- How does the CME Hot Rolled Contract Work?
- How do I protect my inventory pricing and profits?
- How do I handle price risk when I am taking physical delivery of steel?
- Can I offer my steel customers long-term fixed pricing?
- Can Cold Rolled, Galvanized or other flat rolled steels be hedged?
- How does the steel hedge work with my physical purchase?
"This workshop finally put in perspective the opportunities, risks, rewards, and relative small size and lack of liquidity of the HR hedging market."
- David H. Schwind, C.P.M., V.P Purchasing, Custom Steel Processing