We work with clients in this area to develop hedging strategies, manage positions, value physical and financial contracts.
Primary and Secondary Processors
This operating environment requires that processors hedge exposure on both the input and output sides. We help develop and implement processes and systems to help manage various mission-critical operations including contract management, market risk and regulatory report, accounting, settlements, invoices among others.
Storage Service Providers
We help silo owners and storage facility operators implement processes and systems that help track positions across commodities, varieties, customers, locations among other aggregation dimensions. In cases where storage operators take title or own replacement cost liabilities, we help track valuation of physical inventories, variety blends as well the hedge positions taken to mitigate market risk.
Packaged Goods Producers
Price elasticity prevents CPG companies from passing along cost increases to consumers. This transforms procurement and strategic sourcing into a source of competitive advantage. We work companies in this industry vertical to deploy processes and systems designed minimize the impact of market shocks on margins.