EC Nebraska | IN555 - 6/20/2018 11:11
Actually my comment wasn’t being sarcastic at all. I personally don’t like them as I said. My point was how some got forced to sale which added to the fall. I’m guessing those in that position aren’t very happy about it. It all depends on timing of your enrollment, pricing period etc as to how much equity is there. One guy yesterday was satisfied with one contract he did but really upset about the other. One he was getting double bushels priced at a good level for awhile now so the avg is reasonable. The other one that started a month ago sold about 70% yesterday so the avg is horrible.
I've only used them a couple times, but the ones I've seen simply "kicked out" if the price dropped below the stop level. So, you might have 10K bushels offered, but if only 30% of the time had passed before the price dropped too low, then the contract was over with only 3K bushels priced.
Then you had to figure out what to do with the remaining 7K you thought you had committed, but they weren't priced for you. |