u/Morty-Yellow

Recently I read a book which has a sentence like “Derivative traders operate under strict limits that define the maximum loss, commonly known as value at risk(VaR)”

My perspective on it is VaR is the absolute maximum expected loss. Is that right or not?

Cause last time I heard someone particularly mentioned VaR in a speech about Risk management. So I feel like VaR is not that easy concept as I show above.

I am looking forward to hear any views or comments on it, thanks everyone.

Hi everyone, as the title shows, I will soon have an interview for an operations role in refined copper at a relatively large commodity trading company. The role’s main business involves pure import trade into China, settled in US dollars, and they have the offtake agreement as well as their own refinery. My previous experience was mainly in domestic trading and logistics for aluminium, so I am not very familiar with import trade.

The HR suggested that I prepare for topics related to L/C settlement. Besides that, I also plan to learn more about the copper value chain, the main import shipping routes and corresponding shipment schedules, QP calculation methods, and Incoterms.

I would really appreciate any suggestions or knowledge you may have. Thank you!

I got a chance to communicate with a senior trader, who is focused on metals trading in his whole career, for like 30 mins.

So I'm thinking, as a student that aspiring to enter career path in commodities trading, what kind of questions should I ask to start a conversation? Based on what I've learned so far, the question I most want to ask is - “With markets becoming ever more transparent, apart from supply chain optimization, what other strategies can be used to widen the arbitrage opportunity”

I look forward to hearing any answer, thank you.