Price Risk Managment

At CRU Price Risk Management, our mission is to provide the tools to help our clients prosper in a business climate characterized by uncertainty and risk.

Our customized, exclusive consulting services include hedge techniques and price risk process management and strategic price strategies. Our consulting services are designed to give you a competitive advantage in your market sector.

Our publications cover a wide range of critical information necessary to manage price risk and understand the global aluminum and copper industries. 

Price risk management—all markets

We provide customized services to help you quickly address gaps in your price risk management program. As such, we can help you implement a new program or update your current program. Examples of project work:

  • Establish risk management policy
  • Establish measurement systems
  • Quantify unhedged price risk
  • Develop risk tolerance guidelines
  • Establish counterparty credit agreements

... and more!

Price risk exposure management

PHASE I: Identifying metal price risk opportunities—
from aluminum to zinc
CRU Price Risk Management helps you find opportunities for improving your risk management results. We analyze your entire cost structure and marketing plans. We identify your commodity price risks and quantify your company's financial exposure. We present specific, practical recommendations for offsetting, neutralizing or eliminating price risks, based on your objectives. This service IS NOT complete until you and your organization fully understand our analysis and recommendations.

PHASE II: Implementing solutions
CRU Price Risk Management is available to assist should you decide to implement any of our recommendations. We can provide essential staff training and development and function as partners in the improvement of your information and control systems.

Exclusive consulting engagements

CRU Price Risk Management is available to serve a limited number of clients on an exclusive basis. Operating under a multi-year contract, we function as part of your staff. We work closely with you to develop a competitive advantage for your company through creative product and material pricing.

These relationships are exclusive and proprietary. During our engagement, we decline any assignments of similar nature from your competitors.

    Auditing and controls

    CRU Price Risk Management can perform an independent audit covering all facets of the price risk management process. It is a practical analysis by knowledgeable people with both operational and financial skills to provide a higher quality review than your annual audit and much less expensive than the consulting arm of your external auditors. Topics covered include:

  • Risk management policy and compliance
  • Internal controls and measurements used to evaluate performance
  • Price risk process
  • Cash management techniques
  • Reports and measurements for management and Board of Directors
  • Disclosures and compliance—SEC regulations and FAS 133

... and more!

Risk management training—all metals

We are your source to train employees who are either newly hired or promoted into your price risk management or purchasing functions. We will educate them in the entire price risk management process, not just how to execute trades or buy material. We will come to your offices or you can come to our Pittsburgh location. Once we train your people in the markets, the instruments and the operational process, we maintain contact to support them as they implement your company's strategies. It's a unique way to quickly bring new employees up to a world-class level in a complex process.  We will also provide updates to your employees in the price risk management process so your program can always be world-class in terms of operations, techniques and controls. We offer the following customized seminars:

  • Basic hedging concepts
  • Understanding the LME and NYMEX
  • Price risk management: A process overview
  • Technical analysis

... and more!

If you would like to contact us directly …

Email: MaryLou.Southwood@crugroup.com
Phone: +1 724 940 7100
Fax: +1 724 940 4488

Mailing Address:
2000 Corporate Drive, Suite 365
Wexford, PA 15090

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Our Services Price Risk Management