Find out how Mercuria manages commodity risk
Whether you are trading hard or soft assets, or your company is exposed to volatile commodity prices, access to accurate, near real-time information can help treasurers, like those at Mercuria, mitigate exposures.
With commodity prices highly volatile and supply and demand factors very uncertain, it is a dificult time to be a treasurer at a company with large exposure to commodities risk.
One area for concern is how China will manage it supplies in the next six months. Experts predict that as a result of production cuts in certain commodities, despite steady or even increasing demand, cetain asset prices will remain elevated – aluminium, nickel, and zinc, for example. Copper, on the other hand is expected to dip within the year.
However, it is not wise to make too many assumptions, less so not to hedge your key business exposures. So many factors affect the price of hard and soft commodities that a risk management strategy is essential.
Mercuria is one such Swiss international commodity house that actively manages its commodities, FX, and fixed income assets, as well as credit terms with trading counterparties.
Working in partnership with Thomson Reuters, Mercuria utilises its own solutions platform to manage these cross-asset requirements – including credit screening and pre-trade to post-trade.
To find out more about how Mercuria and Thomson Reuters work together, please CLICK HERE
For more information, please contact:
Raj Melvani
Market development manager, corporates and supply chain – Asia
[email protected]