Fundamentals of Hedging for Cooperatives

Description

Managing risk is a critical part of financial stability for cooperatives, particularly those exposed to fluctuating commodity prices and interest rates. This session provides a practical introduction to the fundamentals of hedging and how cooperatives can effectively use derivative instruments to mitigate financial risk. Participants will learn key concepts and terminology related to hedging, explore common strategies used in the cooperative sector, and gain insight into the accounting and reporting implications of hedge transactions under GAAP. Real-world examples and cooperative-specific scenarios will help demystify complex topics, providing participants with a solid foundation to engage in more informed financial decision-making.