It can be intimidating navigating risk management and understanding what is right for your business. We provide the basics of hedging to better understand the process, impacts from outside factors, common terms and more. Our guest Mike North, president of the producer division at Ever.Ag, shares hedging examples and breaks down the basics. Dairy Stream host Joanna Guza dives into the topic below with Mike:
1:15: Overview of hedging
5:36: Farm bill and risk management
9:51: Who is involved in the hedging process
12:36: License and reputable companies
14:00: Why do businesses hedge
14:38: Popularity of hedging
15:22: Common terms
19:53: Outside factors that impact hedging
22:41 Current events and risk management
28:00: Examples
34:05: How to get started
37:20: Future of hedging
Special thanks to Compeer Financial for sponsoring this episode.
About the guest
Mike has spent nearly 30 years working with both farmers and processors or the end users of agricultural commodities to address and manage their exposure to commodity price risk. Mike applies a comprehensive approach to identifying points of risk and developing an appropriate risk management plan. Mike is currently the President of the Producer Division at Ever.Ag.
This podcast is co-produced by the Dairy Business Association and Edge Dairy Farmer Cooperative, sister organizations that fight for effective dairy policy in Wisconsin and Washington, D.C. Become a sponsor, share an idea or feedback by emailing podcast@dairyforward.com.
