Agri – Soft Commodity Futures

Short description

Set up an agricultural commodity futures position at an exchange and monitor your financials.

Capacity

You act in the role of a market participant in de market for agricultural products.
You act in the capacity of aggressor.

Task

Your task is to follow the money, when transacting.
You are allocated budget; your initial working capital is 800.00.
Look at the allocation of capital (initial and variation margin), once you open a position.
Analyse the development of your overall transaction fees.
Track your realised and unrealised profit or loss (P/L).

Objective

The aim of this simulation is learn about exchange-trading of futures contracts on agricultural commodities. It also allows you to master cash flow management, including the charging of transaction fees (exchange fee and clearing fee), the temporarily allocation of cash collateral (initial margin and variation margin) and the financial performance (realised and unrealised profit or loss).

Conclusions

At the end of the simulation, analyse your performance. See what you have done and when you have done this and whether it could have been optimised. This way, you learn and optimise your competences.
Check what differences can be detected when you compare the situation of having left no position and having left a position.

 

Our Labels

Entrima and Market Abuse Centre (MAC) are the two labels we operate to provide learning services for professionals in the commodity & energy markets.
 
 


Content & Context

Entrima’s mission is to transfer knowledge regarding the business, controls & operations of parties in (or relating to) the wholesale markets.

www.entrima.org


Conduct & Culture

MAC’s mission is to facilitate the prevention & detection of misconduct and to foster proper behaviour in organisations. This is achieved via training, periodic updates and increased awareness.

www.marketabusecentre.com