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 Hedging Outcomes With LRP Insurance
When hedging a future sale of livestock with LRP, it is important to estimate an expected selling price. Chapter five explains how to calculate a minimum expected selling price. Also, the chapter examines how price and basis changes affect the outcome of an LRP hedge.
Topics covered include:
- How to calculate minimum expected selling prices;
- How changes in price and basis affect the outcome of LRP hedges;
- Some final considerations when purchasing LRP.
Important! USDA-RMA has revised the LRP policy. The 2008 LRP Policy Updates provides detailed information regarding LRP program changes for 2008.
- To view the printed course materials and slides, you will need the Adobe Acrobat Reader
- To view the videos, you will need the free RealPlayer software available from Real.com.
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