128:
22:
464:
face price and quantity risk with regard to tax revenues, particularly where tax rates rise as commodity prices rise (generally the case with metals and energy exports) or if support or other payments depend on the level of commodity
458:
face the same risk between purchase at the port and sale in the destination market; and may also face political risks with regard to export licenses or foreign exchange conversion.
357:
536:
452:(cooperatives, commercial traders and trait ants) face price risk between the time of up-country purchase buying and sale, typically at the port, to an exporter.
480:
32:
569:
1016:
542:
350:
485:
446:(farmers, plantation companies, and mining companies) face price risk, cost risk (on the prices of their inputs) and quantity risk
884:
1163:
966:
517:
90:
47:
410:
is arising out of adverse movements in the world prices, exchange rates, basis between local and world prices. The related
62:
343:
562:
127:
849:
741:
505:
69:
443:
913:
475:
1001:
582:
76:
859:
824:
829:
1168:
889:
874:
816:
555:
58:
864:
1206:
1108:
1081:
1066:
834:
689:
610:
154:
1237:
1232:
1211:
1143:
1133:
1088:
1021:
854:
605:
1201:
1158:
669:
1178:
1173:
1153:
1041:
844:
802:
699:
625:
322:
177:
149:
547:
1056:
1046:
1036:
991:
986:
940:
936:
909:
839:
756:
630:
620:
513:
281:
159:
1093:
1011:
961:
944:
869:
733:
718:
286:
225:
83:
1128:
1103:
1061:
1051:
1026:
1006:
996:
709:
673:
615:
411:
244:
202:
144:
1076:
932:
928:
919:
787:
766:
714:
704:
694:
684:
635:
578:
428:
331:
296:
263:
258:
235:
216:
182:
119:
1226:
1183:
1071:
981:
971:
924:
904:
797:
746:
272:
207:
187:
1138:
1123:
899:
761:
722:
374:
306:
291:
230:
1188:
1148:
894:
879:
792:
679:
657:
645:
597:
461:
417:
398:
315:
192:
168:
135:
21:
771:
751:
665:
661:
406:
301:
253:
401:
etc. A commodity enterprise needs to deal with the following kinds of risks:
1118:
422:
382:
439:
There are broadly four categories of agents who face the commodities risk:
976:
455:
1031:
39:
1098:
378:
449:
390:
386:
1113:
551:
394:
15:
539:
Federal
Reserve Bank of Chicago, Financial Markets Group
43:
543:
SAP Library - Financial Risk
Management of Commodities
537:
954:
815:
780:
732:
644:
596:
589:
563:
381:, caused by the fluctuation in the prices of
351:
8:
48:introducing citations to additional sources
481:Sprott Molybdenum Participation Corporation
593:
570:
556:
548:
358:
344:
110:
38:Relevant discussion may be found on the
497:
321:
314:
271:
243:
215:
167:
134:
118:
373:refers to the uncertainties of future
7:
414:usually has a rather minor impact.
14:
486:Uranium Participation Corporation
845:Conditional Value-at-Risk (CVaR)
126:
31:relies largely or entirely on a
20:
1164:Strategic financial management
967:Asset and liability management
377:and of the size of the future
1:
742:Operational risk management
510:Financial Sector Assessment
506:International Monetary Fund
385:. These commodities may be
1254:
914:Proportional hazards model
865:Interest rate immunization
476:Fuel price risk management
1197:
583:financial risk management
860:First-hitting-time model
825:Arbitrage pricing theory
1169:Stress test (financial)
875:Modern portfolio theory
418:Quantity or volume risk
1207:Investment management
1109:Investment management
835:Replicating portfolio
611:Sovereign credit risk
1212:Mathematical finance
1144:Risk-return spectrum
1134:Mathematical finance
1089:Fundamental analysis
1022:Exchange traded fund
606:Consumer credit risk
44:improve this article
1202:Financial economics
1159:Statistical finance
925:Value-at-Risk (VaR)
830:Black–Scholes model
670:Holding period risk
1179:Structured product
1174:Structured finance
1154:Speculative attack
840:Cash flow matching
803:Non-financial risk
700:Interest rate risk
626:Concentration risk
425:(Input price risk)
323:Non-financial risk
178:Interest rate risk
150:Concentration risk
1220:
1219:
992:Corporate finance
987:Capital structure
941:Cash flow at risk
937:Liquidity at risk
910:Survival analysis
811:
810:
757:Reputational risk
631:Credit derivative
368:
367:
282:Reputational risk
109:
108:
94:
1245:
1094:Growth investing
1012:Enterprise value
962:Asset allocation
945:Earnings at risk
927:and extensions (
870:Market portfolio
734:Operational risk
719:Refinancing risk
594:
572:
565:
558:
549:
524:
523:
502:
360:
353:
346:
287:Operational risk
226:Refinancing risk
130:
111:
104:
101:
95:
93:
59:"Commodity risk"
52:
24:
16:
1253:
1252:
1248:
1247:
1246:
1244:
1243:
1242:
1223:
1222:
1221:
1216:
1193:
1129:Systematic risk
1027:Expected return
1007:Economic bubble
1002:Diversification
997:Cost of capital
950:
807:
776:
728:
710:Volatility risk
674:Price area risk
640:
616:Settlement risk
585:
576:
533:
528:
527:
520:
504:
503:
499:
494:
472:
437:
412:price area risk
364:
245:Investment risk
203:Volatility risk
145:Settlement risk
105:
99:
96:
53:
51:
37:
25:
12:
11:
5:
1251:
1249:
1241:
1240:
1235:
1225:
1224:
1218:
1217:
1215:
1214:
1209:
1204:
1198:
1195:
1194:
1192:
1191:
1186:
1181:
1176:
1171:
1166:
1161:
1156:
1151:
1146:
1141:
1136:
1131:
1126:
1121:
1116:
1111:
1106:
1101:
1096:
1091:
1086:
1085:
1084:
1079:
1074:
1069:
1064:
1059:
1054:
1049:
1044:
1039:
1029:
1024:
1019:
1014:
1009:
1004:
999:
994:
989:
984:
979:
974:
969:
964:
958:
956:
955:Basic concepts
952:
951:
949:
948:
933:Margin at risk
929:Profit at risk
922:
920:Tracking error
917:
907:
902:
897:
892:
890:Risk-free rate
887:
882:
877:
872:
867:
862:
857:
852:
847:
842:
837:
832:
827:
821:
819:
813:
812:
809:
808:
806:
805:
800:
795:
790:
788:Execution risk
784:
782:
778:
777:
775:
774:
769:
767:Political risk
764:
759:
754:
749:
744:
738:
736:
730:
729:
727:
726:
715:Liquidity risk
712:
707:
705:Inflation risk
702:
697:
695:Margining risk
692:
687:
685:Valuation risk
682:
677:
654:Commodity risk
650:
648:
642:
641:
639:
638:
636:Securitization
633:
628:
623:
618:
613:
608:
602:
600:
591:
587:
586:
579:Financial risk
577:
575:
574:
567:
560:
552:
546:
545:
540:
532:
531:External links
529:
526:
525:
518:
496:
495:
493:
490:
489:
488:
483:
478:
471:
468:
467:
466:
459:
453:
447:
436:
435:Groups at risk
433:
432:
431:
429:Political risk
426:
420:
415:
371:Commodity risk
366:
365:
363:
362:
355:
348:
340:
337:
336:
335:
334:
332:Stranded asset
326:
325:
319:
318:
312:
311:
310:
309:
304:
299:
297:Political risk
294:
289:
284:
276:
275:
269:
268:
267:
266:
264:Valuation risk
261:
259:Execution risk
256:
248:
247:
241:
240:
239:
238:
236:Margining risk
233:
228:
220:
219:
217:Liquidity risk
213:
212:
211:
210:
205:
200:
198:Commodity risk
195:
190:
185:
183:Inflation risk
180:
172:
171:
165:
164:
163:
162:
157:
155:Sovereign risk
152:
147:
139:
138:
132:
131:
123:
122:
120:Financial risk
116:
115:
107:
106:
42:. Please help
28:
26:
19:
13:
10:
9:
6:
4:
3:
2:
1250:
1239:
1236:
1234:
1231:
1230:
1228:
1213:
1210:
1208:
1205:
1203:
1200:
1199:
1196:
1190:
1187:
1185:
1184:Systemic risk
1182:
1180:
1177:
1175:
1172:
1170:
1167:
1165:
1162:
1160:
1157:
1155:
1152:
1150:
1147:
1145:
1142:
1140:
1137:
1135:
1132:
1130:
1127:
1125:
1122:
1120:
1117:
1115:
1112:
1110:
1107:
1105:
1102:
1100:
1097:
1095:
1092:
1090:
1087:
1083:
1080:
1078:
1075:
1073:
1070:
1068:
1065:
1063:
1060:
1058:
1055:
1053:
1050:
1048:
1045:
1043:
1040:
1038:
1035:
1034:
1033:
1030:
1028:
1025:
1023:
1020:
1018:
1015:
1013:
1010:
1008:
1005:
1003:
1000:
998:
995:
993:
990:
988:
985:
983:
982:Capital asset
980:
978:
975:
973:
972:Asset pricing
970:
968:
965:
963:
960:
959:
957:
953:
946:
942:
938:
934:
930:
926:
923:
921:
918:
915:
911:
908:
906:
905:Sortino ratio
903:
901:
898:
896:
893:
891:
888:
886:
883:
881:
878:
876:
873:
871:
868:
866:
863:
861:
858:
856:
853:
851:
848:
846:
843:
841:
838:
836:
833:
831:
828:
826:
823:
822:
820:
818:
814:
804:
801:
799:
798:Systemic risk
796:
794:
791:
789:
786:
785:
783:
779:
773:
770:
768:
765:
763:
760:
758:
755:
753:
750:
748:
747:Business risk
745:
743:
740:
739:
737:
735:
731:
724:
720:
716:
713:
711:
708:
706:
703:
701:
698:
696:
693:
691:
688:
686:
683:
681:
678:
675:
671:
667:
663:
659:
655:
652:
651:
649:
647:
643:
637:
634:
632:
629:
627:
624:
622:
619:
617:
614:
612:
609:
607:
604:
603:
601:
599:
595:
592:
588:
584:
580:
573:
568:
566:
561:
559:
554:
553:
550:
544:
541:
538:
535:
534:
530:
521:
515:
511:
507:
501:
498:
491:
487:
484:
482:
479:
477:
474:
473:
469:
463:
460:
457:
454:
451:
448:
445:
442:
441:
440:
434:
430:
427:
424:
421:
419:
416:
413:
409:
408:
404:
403:
402:
400:
396:
392:
388:
384:
380:
376:
375:market values
372:
361:
356:
354:
349:
347:
342:
341:
339:
338:
333:
330:
329:
328:
327:
324:
320:
317:
313:
308:
305:
303:
300:
298:
295:
293:
290:
288:
285:
283:
280:
279:
278:
277:
274:
273:Business risk
270:
265:
262:
260:
257:
255:
252:
251:
250:
249:
246:
242:
237:
234:
232:
229:
227:
224:
223:
222:
221:
218:
214:
209:
208:Systemic risk
206:
204:
201:
199:
196:
194:
191:
189:
188:Currency risk
186:
184:
181:
179:
176:
175:
174:
173:
170:
166:
161:
158:
156:
153:
151:
148:
146:
143:
142:
141:
140:
137:
133:
129:
125:
124:
121:
117:
114:Categories of
113:
112:
103:
92:
89:
85:
82:
78:
75:
71:
68:
64:
61: –
60:
56:
55:Find sources:
49:
45:
41:
35:
34:
33:single source
29:This article
27:
23:
18:
17:
1139:Moral hazard
1124:Risk of ruin
900:Sharpe ratio
762:Country risk
723:Deposit risk
653:
621:Default risk
509:
500:
438:
405:
370:
369:
307:Moral hazard
292:Country risk
231:Deposit risk
197:
160:Default risk
97:
87:
80:
73:
66:
54:
30:
1238:Commodities
1233:Market risk
1189:Toxic asset
1149:Speculation
1082:social work
1067:engineering
895:Risk parity
880:Omega ratio
793:Profit risk
680:Equity risk
658:Volume risk
646:Market risk
598:Credit risk
462:Governments
399:electricity
383:commodities
316:Profit risk
193:Equity risk
169:Market risk
136:Credit risk
1227:Categories
772:Legal risk
752:Model risk
666:Shape risk
662:Basis risk
590:Categories
519:0821364324
492:References
407:Price risk
302:Legal risk
254:Model risk
70:newspapers
1119:Risk pool
1032:Financial
456:Exporters
444:Producers
423:Cost risk
40:talk page
1042:analysis
977:Bad debt
855:Drawdown
817:Modeling
508:(2005).
470:See also
100:May 2010
1057:betting
1047:analyst
1037:adviser
690:FX risk
465:prices.
84:scholar
1099:Hazard
850:Copula
717:(e.g.
656:(e.g.
516:
450:Buyers
391:metals
387:grains
379:income
86:
79:
72:
65:
57:
1104:Hedge
1062:crime
1052:asset
885:RAROC
781:Other
91:JSTOR
77:books
1114:Risk
1077:risk
581:and
514:ISBN
63:news
1072:law
1017:ESG
395:gas
46:by
1229::
943:,
939:,
935:,
931:,
721:,
672:,
668:,
664:,
660:,
512:.
397:,
393:,
389:,
947:)
916:)
912:(
725:)
676:)
571:e
564:t
557:v
522:.
359:e
352:t
345:v
102:)
98:(
88:·
81:·
74:·
67:·
50:.
36:.
Text is available under the Creative Commons Attribution-ShareAlike License. Additional terms may apply.
