Kolkata, October 09, 2015: Multi Commodity Exchange of India Ltd (MCX) organised an awareness programme for Calcutta Management Association (CMA) at the Heritage Business School, Kolkata, West Bengal, on Friday, October 09, 2015 for students and academicians. The programme focussed on fundamentals of commodity markets, importance of commodities in the financial ecosystem and price risk management in commodities using exchange futures.
The experts from MCX explained to the students about the functioning of commodity exchanges, benefits of commodity futures, and approach to price risk management. They also gave an insight into the technicalities of the commodity markets with respect to the products, price discovery, transparency and risk management mechanism in trading and settlement of transactions.
They highlighted that just as insurance offers financial cover against specified risks, hedging offers producers, consumers, traders and all other stakeholders a financial cover against the risk of commodity price fluctuations. Thus, to reduce the risks of price fluctuations, commodity stakeholders trade on commodity derivative exchanges.
Mr. Vibhor Tandon , Assistant Vice President – Business Development-MCX said, “MCX has been at the forefront of educating various educational institutions by conducting awareness programmes on Commodity futures markets and commodity price risk management as part of its Financial Literacy campaign”.