Course

Introduction to the London Metal Exchange (LME) and Hedging

Euromoney Learning logoRun by Euromoney Learning
4.8 · 110 reviews3 DaysClassroom63 locations

About this course

This course offers you a solid introduction to the services provided by the London Metal Exchange and demonstrates how these services can improve your organisation’s approach to price risk management. It provides a practical overview of operations, structure, products, trading terminology and procedures. Both theoretical and practical skills developed at this course can be applied easily in the workplace.

What you will learn

  • Become familiar with the LME’s prompt date structure and trading procedures
  • Gain a full understanding of the LME’s market terminology
  • Understand the benefits of the delivery process used by the LME
  • Gain an understanding of the benefits of clearing and the role of LME Clear
  • Learn how to access the LME through member firms and the role of a broker
  • Understand what futures and options are
  • What it means for a contract to be physically settled or cash-settled, and how to use each type
  • How to identify the risk position of a company
  • How to reduce risk using futures and options
  • Differentiate between types of hedges and choose the right hedging instrument
  • What carries are, and what borrowing and lending mean
  • Basics of option pricing

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