Recently, the industry analysts in the public issue of a "Miss Dong's home copper: Gree Electric Appliance futures hedging," the article raised concerns in the circle of friends, the current global large-scale international air-conditioning manufacturer - Gree Electric Derivatives Application to public view.
According to the specific operational procedures disclosed in the report, Gree Electric Materials Co., Ltd. proposed to carry out the hedging of bulk materials in 2017 including copper, steel, etc. , Involving the major settlement currencies of RMB and USD; and the business liquidity arrangement of RMB 1.2 billion.
In addition, the main use of cash in business, the amount of the ratio and the trading leverage is generally 10 times less than the maturity of the balance of open or physical delivery.
As we all know, a large number of household appliances containing copper, mainly in all kinds of wires, condensers, tapes, motors, circuit boards and electronic components.This is mainly due to the copper with high thermal conductivity, energy efficiency, corrosion resistance and antibacterial And other characteristics and performance, is the core components of home appliances choice of materials, can effectively reduce the energy consumption of home appliances, to extend life expectancy and reduce maintenance costs.
For large home appliance manufacturers, this also means that raw material inventory risk and cost levels, which in turn is closely related to the high copper consumption business benefits.
Cao Youming believes that if the enterprises engage in hedging operations when the prices of raw materials rise and the use of futures markets to lock in the cost of raw materials in advance can significantly improve their business performance and enhance the competitiveness of their enterprises, for example, such as the need of Gree Spending a lot of copper manufacturing enterprises, hedging in the current round of sharp rise in copper, which can effectively reduce the cost of copper procurement, thereby enhancing the product's competitive advantage and business performance, but also can enhance the enterprise to fight Risk of price fluctuations in downstream products.
It is noteworthy that large enterprises participate in futures hedging, but it is some investors in the eyes of the floods, some people think that large-scale set of policies for the large-scale enterprises may exacerbate disk fluctuations or manipulate the price of futures prices. Live?
Jiang Xingchun told China Securities Journal reporter, of course, large-scale hedging because hedging in the same or similar principles, while some varieties of open positions and trading volume is limited, species activity and depth may affect the performance of enterprise hedging , Large positions in the enterprise positions or leave the venue may also cause major fluctuations in the disk.However, in the vast majority of rebar, copper and other species before, this effect is minimal, after all, the hedging of enterprises Jiancang or not close As speculation, focus on continuous orders.
Cao Youming analysis, at present, the active futures varieties such as iron ore, rebar, copper, a huge volume, turnover is relatively high, then large enterprises hedging is difficult to have a very significant impact on the futures disk , Unless the hedging position a short time to focus admission, beyond the market capacity.But, less active varieties, due to the smaller volume within the day, large-scale enterprise insurance policy admission, may exacerbate some fluctuations in the disk, But it will not cause manipulation of the market in the long run, if the enterprise hedges the futures market hedging, speculative forces in the market will make the market self-repair.