Price Risk Management

Steel prices are inherently volatile, making business planning a complicated and risky exercise. The introduction of steel futures at the London Metal Exchange and other futures exchanges provides a neutral tool that puts the steel industry back in control of price. Stemcor’s specialist price risk management team employs a range of derivative tools to manage the Group’s exposure to physical market price fluctuations and has forged an alliance with Deutsche Bank to offer price risk management services to external parties.

For hedging examples in long products, please visit the LME’s web site or access the LME steel futures hedging simulator.

For any other enquiry on steel price risk management please contact jeanlucfiorenzoni.prm@stemcor.com

Download: Getting started with steel derivatives – a simple plan