Commodity
Contracts that hedge or speculate on the price of physical commodities.
6 products, each with a five-step lesson, a worked example and a bank of twelve questions.
- Commodity Swap — Fixed price for floating market price
- Commodity Option — Cap or floor a commodity price
- Commodity Forward — Agree a price today for delivery later
- Crack Spread Swap — Hedge the margin between crude and its products
- Weather Swap — A payout driven by temperature, not price
- Swing Option — The right to choose how much you take