EQUALIZER® MIN-MAX PLUS PROGRAM


DESCRIPTION

CGB Grain Market Solutions logo in black and goldThe CGB Equalizer® Min-Max PLUS (EMM Plus) blends two powerful pricing tools – the Equalizer® Min-Max and the Market Plus. The versatility and customization of this product allows you to fit it exactly to your needs. The Equalizer® Min-Max portion allows you to place a floor and ceiling, while pricing equal amounts daily within this range (for exact pricing rules, see Equalizer® Min-Max). The Market PLUS allows you to fix a strike price above the market in exchange for premium to help pay for the Equalizer® Min-Max (for exact pricing rules, see Market PLUS). The Market PLUS portion can be against the same or different futures month giving you ultimate flexibility.

 

ADVANTAGES OF THE EMM PLUS

    • Allows you to lower or eliminate the cost of an Equalizer® Min-Max.
    • Allows you to use different futures months so to spread production risk out.
    • The Equalizer® Min-Max protects you completely at the floor while also giving you upside participation.
    • The Market Plus gives you upside all the way to the Offer Price.

 

HYPOTHETICAL EXAMPLE

Equalizer® Min-Max against Dec-15 Corn
    • Dec-15 Futures @ 3.75
    • Ceiling = 4.50
    • Floor = 3.75
    • Pricing Days = 150

Market PLUS against Dec-16 Corn
    • Dec-16 Futures @ 3.99
    • Strike Price = 4.40
    • Expiration = 8/26/16

Total Program Cost = ZERO

 

ABOUT US

CGB has been an innovative and progressive leader in the grain and transportation industries since 1969. Today, CGB Enterprises operates an enterprise overseeing a diverse family of businesses that provide an array of services for producers and logistics services for a global base of customers.

 

CONTACT INFO

  • Address : 1127 Hwy 190, East Service Road Covington, LA 70433
  • Phone : (985) 867-3500
  • Fax : (985) 867-3506

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