Grain Marketing 101: What Are Commodity Funds?
Farming is an uncertain business, especially considering the wide variety of factors influencing the value of crops. Your financial health in any given year is effected not only by the weather and demand on the other side of the world but also the decisions of commodities traders and investment funds. To help you understand how futures trading moves the market and affects your bottom line, RG Investments is hosting a series of workshops for farmers throughout Nebraska.
Understanding How Commodity Futures Contracts Affect Grain Prices
What Is a Commodity Futures contract?
A commodity futures contract is an agreement to purchase or sell a particular quantity of a product at a specified price on a certain date. Those engaged in commodity trading buy and sell futures in an attempt to profit off of fluctuations in the market for grain, soybeans, and other agricultural products.
Understanding How Futures Trading Effects Farmers
Commodity futures can have an impact on the daily market fluctuations that determine the value of your crop. At their workshops, RG Investments will help you understand how you can use commodities futures to shield yourself from unexpected price drops. The next workshops start at 11:30 a.m. on Feb. 5th in Ashland at Parker’s Smokehouse and 5:30 p.m. Feb. 5th in Seward at the Seward Memorial Library. If you’re a farmer who wants to have more control over your grain pricing, sign up today. You’ll learn what commodity funds are, how they work, and how the managed commodity funds move grain markets. An additional workshop is planned for February 26th 2019.
RG Investments has been helping farmers and private individuals throughout Nebraska realize their dreams since 1991, drawing on their knowledge and ability to make complex financial matters easy to understand. If you’re a corn or soybean producer, they can help you develop a strategy to manage the risks of an unpredictable market. Follow their Facebook for regular tips and news and remember to RSVP for their commodities workshop. To sign up, visit their website, or contact Sandy by email or at (402) 643-6669.
Futures and options trading involves risk of loss and may not be suitable for all producers or investors.
About the Business
