The Capital Market and Commodity Market Committee of PHDCCI organised an Interactive Session on Hedging through Exchange Traded Currency & Commodity Contracts on 27 March 2023 at PHD House, New Delhi.

Mr B K Sabharwal, Chair, Capital Market and Commodity Market Committee welcomed the esteemed speakers and the delegates. He said that Hedging with exchange-traded contracts helps investors manage risks from currency and commodity price changes.

Mr Suresh Arora, Whole Time Director, Share India Securities Ltd and Co-Chair of Capital Market & Commodity Market Committee at PHDCCI said that the size of the commodity market in India is relatively smaller compared to other countries, while the equity market in India is relatively larger. Mr Arora also pointed out that hedging is neglected and underutilized in India.

Mr Vaibhav Rajput, Head- Soft Oils Trading and Risk Management Cargill said that Hedging is a technique used by investors to minimize the risk of potential losses in their investments. It involves taking positions in different financial instruments to offset any negative impact on one asset with gains in another.

Mr Gaurav Kapoor, Vice President, National Stock Exchange of India Ltd explained the importance of hedging for small and medium-sized enterprises (SMEs) and micro, small, and medium-sized enterprises (MSMEs). Mr Kapoor said that hedging involves using financial instruments to manage risk exposure in the market.

Mr Lokesh Pant, Chief Manager, National Stock Exchange of India Ltd in his presentation said that hat two of the most heavily traded commodities in the world are NYMEX Crude oil and Natural gas. He also compared OTC trading with ETCD trading.

Mr Mohit Luthra, Asst Secretary General, PHDCCI, moderated the Interactive Session and thanked all the speakers, Sponsors and the participants.