Charlie;
Things seem to be backwards in CWB PPO contracts.
EPO contracts would be much better suited to modern risk management needs, if the 90% PRO EPO was offered before August 1st, and cash prices were offered after August 1st, when we find out what we have to sell.
I could pay the EPO premium/t, even lock in a higher PRO if I was willing to pay the premium for this higher option/t later, if the price went higher... not locking into a basis that the CWB expects my first born for payment!
Why is this so difficult for the CWB to understand... that risk management is not supposed to be speculation... yet the CWB seems bound and determined to force us to speculate, if we attempt to manage our price risk?
Things seem to be backwards in CWB PPO contracts.
EPO contracts would be much better suited to modern risk management needs, if the 90% PRO EPO was offered before August 1st, and cash prices were offered after August 1st, when we find out what we have to sell.
I could pay the EPO premium/t, even lock in a higher PRO if I was willing to pay the premium for this higher option/t later, if the price went higher... not locking into a basis that the CWB expects my first born for payment!
Why is this so difficult for the CWB to understand... that risk management is not supposed to be speculation... yet the CWB seems bound and determined to force us to speculate, if we attempt to manage our price risk?
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