Investment Market Update and Derivatives

How Physical Commodity Traders Manage Risk and Create Value: The Intersection of Financial and Physical Markets

Join us for a Market update with David Kandziora, CFA, CAIA, Chair CFA Society New Zealand and Senior Relationship Manager Russell Investments and Tom Soutter, CFA, Senior Trader at Czarnikow Group. Commodity markets are often associated with futures curves and macro cycles, but value is also created on the ground throughout the supply chain. This session will be a look into the world of physical commodity trading, using dairy as a case study, to explore some practical levers which can be used to manage risk and add value for clients in the real economy. We’ll examine how logistics, storage, arbitrage, and timing form the foundation of an optimised physical deal, and how this foundation can be complemented by tailored derivative overlays to enhance client outcomes.