Risk management
hedge Why?
Hedge can be defined as opening a trade in the opposite direction of the position held in any foreign currency or commodity or financial product for the purpose of hedging against financial risks that may occur in the future.
Price change is of critical importance, especially for businesses whose main inputs include commodities traded in the stock market. In order to eliminate the financial risks of the enterprises in the periods when the prices are volatile, the hedge transactions they make in the stock market are important in terms of not turning the profits from their activities into losses.
How Do I Hedge My Risks of Price Change?
The way to hedge against price changes is to buy or sell securities traded in the stock market. possible by hedging. These transactions are carried out by selling paper in the stock market during the physical purchase of raw materials and by purchasing paper simultaneously during the sale of products. An effective and manageable Software support is essential to set up a hedge system.
How Do I Track the Transactions I Take to Avoid Risks?
You can record all your transactions with Corporate-Sense applications, and you can track them online from your computer or mobile phone with reporting applications.
What are the Advantages of Installing a Hedge System?
Advantages of establishing a hedge system;
You can easily see your open positions and make your counter transactions easily,
By tracking your open collateral amount, you can detect situations that require additional collateral and adjust your cash flow in advance,
You can see the situations of excess collateral and use your cash collateral in different areas when necessary,
You can avoid unnecessary paper transactions by seeing your physical sales and purchasing transactions online, so you do not pay unnecessary hedge costs,
You will be able to take decisions instantly and you will be able to evaluate the price change opportunities you see.
Transparent and you become accountable,
It reports how much profit or loss you made from which transactions, financial and operational You will be able to distinguish between the profitability of your transactions.
Is It Costly to Install a Hedge System?
LME in 2018 The change in aluminum prices was realized as 631 USD per ton. In this case, the loss that may occur in a 100-ton transaction is 63,100 USD. indicates that level. The Corporate-Sense Hedge system you will install, You can easily have such a loss with a cost of less than one fourth. Contact us for our pricing that varies depending on the number of users.
How Long Does It Take to Install the Hedge System?
The Corporate-Sense Hedge System is activated immediately after licensing and can be used immediately after user training.
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