“Extremely useful. The course was a great mix of what has happened in the industry and where we may be headed.”
- Donn Nolin, Director of Energy Marketing, M&M Cooperative, a division of CHS
“Elaine did an excellent job tying the physical fuel market to the financial futures and options markets and how they work together in our risk management.”
- Pat Doyle, Energy Solution Partners
FMU Gradutes:
- Bank of America, Global Commodities
- Bell and Company
- Big Bear Oil Company Inc
- Biodiesel Systems
- BJs Wholesale Club
- BNSF Railway
- Bonanza Fuel, Inc.
- Boswell Oil Company
- Bozzuto's Inc
- BP
- Brant-Sta, Inc
- Brewer-Hendley Oil Co.
- Bristol Alliance Fuels, LLC
- Brookshire Grocery Company
- Browns Valley Mini-Mart
- Bruce's Automotive Service Center
- Bryan McDougall Fuels
- Buckeye Energy Services
- Bulk Plants, Inc.
- Bulkley & Associates
- C&S Petroleum Inc.
- C&S Wholesale Grosses Inc.
- C.L. Thomas, Inc.
- Caico Oil
- California Energy
- Canadian American Oil Company
- Cannon Oil Corp
- Carson Oil Company
- Carter Logistics, LLC
- CCI Oil and Gas Solutions
- CC&V Gold Mining Co.
- Cenex
- Central States Petroleum
- Centurion FCU
- Chevron
- Canada Limited
- Chevron Texaco
- Chronister Oil Co.
- CHS Inc
- CITGO Petroleum Corporation
- Citi Capital
Day 2 Thursday, December 3, 2009
8:30 – 9:00 a.m.
Continental Breakfast
9:00 – 9:45 a.m.
How to Use Published Benchmarks in Your Fuel Buying Purchases Most suppliers use published benchmarks as a basis for buying or selling fuel. There are subtle differences, however, in the various rack and spot benchmarks, and understanding those differences can have a tremendous impact on your bottom line. You’ll hear:
- The major differences between publications, and between rack and spot benchmarks.
- A detailed explanation of the new calendar average rack benchmark.
- The many different combinations of spot benchmarks that are available and how to determine which one is right for you.
9:45 – 10:30 a.m.
Specific Hedging Tools Part 3: Practical Basis ApplicationsBuilding on your hedging knowledge from yesterday, we’ll take a look at electronic exchanges and how to use basis to time your purchases. We’ll cover:
- Exchange of futures for physical (EFP) and exchange of futures for swaps (EFS).
- New futures contracts on electronic exchanges.
10:30 – 11:00 a.m.
Refreshment Break
11:00 – 11:45 a.m.
Advanced Hedging Part 1: The Importance of Spread TradingPrior sessions focused on the basics of hedging, but there are many other strategies that are available. Now learn the next step:
- Key terms and what they mean, including backwardation and carry.
- Trading spreads: discover the difference between calendar spreads and the gasoline crack spread, and why these are critical for fuel distributors to understand.
- BONUS: proven tips on hedging retail margins.
11:45 a.m. – 12:45 p.m.
Networking Luncheon
12:45 – 1:30 p.m.
Advanced Hedging Part 1: The Importance of Spread Trading (continued)
1:30 – 2:00 p.m.
Key Concept Review - QuizTest your advanced hedging knowledge so far and review results to make sure you have the key terms and definitions down.
2:00 – 3:15 p.m.
Advanced Hedging Part 2: Basic Understanding of OptionsOptions are a useful tool in controlling price risk. In our final session on specific hedging tools, we’ll focus on the concept of buying options for price protection. We’ll lay it all on the table so you can determine if they’re right for your business:
- Puts and calls: what they are and how they differ.
- How to value an option.
- Hedge applications.
- Trading strategies.
3:15 – 3:45 p.m.
Key Concept Review - Quiz We’ll test your advanced hedging knowledge so far and review your results to make sure the key concepts of hedging options are clearly understood.
4:00 p.m.
Cocktails with the Instructors
