Inventory & Logistics

Quor unlocks potential for physical traders by offering full visibility into their metals products. By combining physical contracts and financial hedging instruments, we help you understand positions, risks and profits in an efficient way – maximizing performance from any trading activity.

• Navigating trading raw materials is complex; setting the right price, securely delivering goods, and managing risk exposure are priority considerations
• From wild swings in daily costs to waiting on the unpredictable nature of the industry, businesses confront an ever-changing marketplace
• Ensuring traders are reconciled is essential for a comprehensive understanding of risk exposure across the entire lifecycle of the trade

Risk Management

With commodity derivatives hedging and trading, businesses face an array of risks that could threaten legality or compromise financial stability. These include ever-changing price risk, counterparty risk, operational pitfalls, plus regulatory uncertainties due to constantly evolving regulations at all levels.

• Trading commodity derivatives carries substantial risk of exposure to price fluctuations—a challenge that requires vigilant monitoring and strategic decision-making
• It’s vital to evaluate the creditworthiness of your counterparty in order to avoid potential defaulting risks
• From catastrophic systems outages to insidious data breaches and simple human error, operational failures can wreak havoc on portfolios
• Trading in commodity derivatives is a tightly controlled space, where the consequences of failing to follow regulations can be severe

Hedging

Everyday presents a new challenge bringing together disparate data from around the globe to paint an accurate, up-to-date picture of both physical and derivative positions that helps the decision-making process around complex hedging instruments.

• Hedging a commodities position requires finesse and precision to strike the right balance between controlling risk and averting excessive expenses
• Protecting yourself from market uncertainty by choosing the best hedging instruments to safeguard your position is essential
• Carefully responding to the market and making adjustments, such as rolling over contracts, is key when hedging a commodities position
• Hedging offers the possibility of reducing uncertainty but carries its own complexities; namely costs, rigidity and the threat of losses

Accounting

Keeping up with financial transactions and regulations can be a daunting task for any company whether accounting for financial
or physical trading and hedging. Quor uses careful analysis techniques the help clients adhere to rigorous regulatory filings, ensuring that fair market value is accurately reflected on every statement they produce.

• Financial statements must reflect the fair market value of derivatives, this requires sophisticated valuation techniques including discounted cash flow analysis
• A trading company must maintain timely accuracy when it comes to the trade data that impacts their accounting processes
• Financial statements must provide a comprehensive overview of transactions, diving into the specifics of a contract’s nature and risks
• Companies must adhere to regulations when accounting for derivatives transactions, which can involve report filings and capital reserve guidelines