What is Portfolio Builder?
Portfolio Builder establishes the futures price component of your grain contract by combining four types of strategies into one contract. Each component automatically executes during key times throughout the year. This allows you to diversify your grain marketing plan, and take advantage of market movements during your busy seeding season all the way through harvest.
How Portfolio Builder Works
The power of diversification isn’t just in the number of different grain marketing contracts in a plan. It’s diversifying across seasons, grain marketing goals and market biases.
- The Average component prices you grain daily during the spring and early growing season, when prices historically are higher than other times of the year.
- The Target component sets a target price based on estimated production costs adjusted for profitability and automatically prices if markets reach the target price by the end of June.
- The Enhance component provides opportunity to potentially price a portion of your grain at a premium to the market.
- The Floor component establishes a minimum price you receive for you grain during the volatile growing season, with the potential to capture higher prices through harvest.
Simplify your marketing with Portfolio Builder
Portfolio Builder is a grain contract that automatically executes four powerful strategies to deliver proven results: average, enhance, floor, and target. This contract is designed with historical market movements, key seasonal trends, and a diversified plan in mind.
Compare Foundational Contracts
Portfolio Builder
Keep pace and establish benchmarks with average daily pricing. A simple, straightforward way to build a price for your grain, take advantage of seasonality, and reduce both the stress and risk of trying to time the market.
Your grain is marketed every day. At the end of the contract, you get the average price.
Establish your basis any time prior to delivery and price out at any time.
Set it and forget it — auto-executes throughout your selected time period.
Use if your market bias is:
Bull
Bear
Neutral
Pacer
Keep pace and establish benchmarks with average daily pricing. A simple, straightforward way to build a price for your grain, take advantage of seasonality, and reduce both the stress and risk of trying to time the market.
Your grain is marketed every day. At the end of the contract, you get the average price.
Establish your basis any time prior to delivery and price out at any time.
Set it and forget it — auto-executes throughout your selected time period.
Use if your market bias is:
Bull
Bear
Neutral
Foundational contracts in your grain marketing plan.
Foundational contracts are a great way to start diversifying your grain marketing plan, no matter what time of year or how comfortable you feel with grain marketing. Whether you want to take advantage of Cargill’s experience and insights, diversify your portfolio without managing individual contracts, or establish a baseline for future grain marketing, you can start off on solid ground with foundational contracts.