Managed Pool WA 2017/18
Looking to market some grain pre-harvest? Look at the Managed Pool.
The Managed Pool is an actively managed wheat pool for growers wanting to market grain prior to harvest. The pool is hedged to provide price security, while still allowing for upside during the year.
The Managed Pool is jointly managed by the dedicated teams at CBH Group and Plum Grove; grain trading and marketing professionals who analyse the market every day.
CBH markets the physical wheat and provides security of payment as part of the CBH Group.
The Managed Pool's objective is to deliver an above average return for your grain using active trading strategies.
Historically the Managed Pool is a proven performer, providing growers with competitive and secure returns. Since 2008 the pool has delivered an average return of $296.22 FIS per tonne for the APW base grade.
Last season, the Managed Pool achieved its objective of delivering an above-average return. At $254.84 FIS APW1 KWI, the final return was 3.5% ($8.57) above the average of the best available cash prices over the period ($246.27).
This performance against cash demonstrates that even in years of low price volatility, the Managed Pool can be part of a balanced and diversified grain marketing plan to achieve superior returns over time.
Important Information & Features
|Manager||Plum Grove & CBH||Ring-Fenced||Yes, managed independent of all other trading activities.|
|Management Fee||3.25% of FOB||Independently Audited||Yes, see Terms and Conditions.|
|Payment Terms||7 days EOWD||Payment Dates||Payment dates are guaranteed for the dates nominated.|
|Interest Rate||3.79% variable||Early Contract Bonus||No|
|Harvest||January 2018||May 2018||July 2018|
|Distributions||40% Distribution||60% Final Distribution|
|Harvest / Flexi Loan||80% Loan||20% Final Payment|
|Advance||75% Advance||25% Final Payment|
|Deferred||100% Final Payment|
Each payment will be less proportional costs.
The pool finalisation date in May aligns the pool lifecycle with the hedging plan and to pay growers sooner. The deferred payment option is available with a 100% distribution in July.
FIS returns will be published prior to the 2017/18 harvest.
Hedging Mandate and Sales Program
The Managed Pool adheres to key hedging guidelines to ensure the Pool has a minimum level of price security, while allowing for upside during the year.
Hedging Period Guidelines
35% by September; 65% by December; and 90% by March.
Note: payments are determined by payment method, not hedging benchmark
What's the next step?
Call CBH or Plum Grove today to discuss your options
Plum Grove Pty Ltd
1300 411 155