In my last e-newsletter, I introduced a new product called CommodityCap. This is an insurance policy that allows a firm to hedge prices on the major commodities used in their operations. For companies that are looking for tools to aid in long term operational plans, this can be a unique tool. Not only can it be used as a hedging device, it can also be used to attract new clients looking for cost certainty. The top uses for this product are fuel, food products such as beef and pork, and virtually any form of metal such as silver, gold or aluminum.
Many commodity prices are at historic lows. This is the perfect time to lock in these low costs for the next three to five years. Let us help you take some risk off the table by hedging a portion of your commodity costs.