Posts by Mark Rachal
A "stop loss" is a threshold that will trigger a position to close, thus limiting the loss on a position that is not performing as expected. Read more»
Speculation requires vigilance in monitoring the position. If it isn’t performing as expected, then the prudent step might be to close the position. Read more»
Hedging is the easiest way to use financial swaps, but we can also use swaps to capture an opportunity that may be present in the market, says Mark Rachal of Cost Management Solutions. Read more»
Financial swaps are risk management tools. When used properly, they are true hedges that provide predictable results for supply purchases. Read more»
Mark Rachal explains the process of delivering physical supply to the customer and settling financial swaps to show how the two work together. Read more»
Learn how a propane retailer can use a financial swap to provide a fixed price to a customer for months or even years in advance. Read more»
Retailers use swaps to capture opportunities, turn unknown future prices into knowns and maintain flexibility to adjust positions when conditions change. Read more»
Mark Rachal of Cost Management Solutions explores some of the advantages of the propane swap market in price risk management. Read more»
Retailers that evaluate market conditions and establish buying criteria based on that evaluation may find that they captured the lowest price of the year. Read more»
U.S. retailers that have received propane imports by rail from Canada may find product harder to come by and may need to consider other sources. Read more»









