Commodities Fundamentals

Commodities Fundamentals Course Overview

This course provides an in-depth overview of commodities trading in capital markets. We will introduce the key features of commodities and go over the major commodity categories with their key drivers. Then we will explore how commodities are traded in the derivatives markets using futures and options. We will demonstrate common commodity trading strategies such as hedging, cash and carry arbitrage trading, and monthly rollover. Finally, we will discuss commodity spread trading strategies such as intramarket spreads, intermarket spreads, and strips.

Commodities Fundamentals Learning Objectives

By the end of this course, you will be able to:

• Define commodities and their key features
• Identify the major commodity categories
• Discuss the drivers of the commodities in different categories
• Undertake commodity trading strategies using futures and options
• Explain commodity spreads and common spread trading strategies

Commodities Fundamentals is a required course of CFI’s CMSA® program

CFI’s Capital Markets & Securities Analyst (CMSA)® program covers all the basic, intermediate, and advanced topics about sales and trading, investment banking, and asset management. This program teaches you trading strategies used in the finance and capital markets industry. It is ideal for students who want to learn how to trade different asset classes. The program is completely online so you can take it at your own pace, from anywhere in the world.

Common career paths for students who take the CMSA® are Sales & Trading, Asset Management, Wealth Management, Treasury, Risk Management, and other capital markets careers.

Who should take this CMSA® course?

This introductory commodities course is perfect for students who are interested in commodities derivatives and trading strategies. This course provides a comprehensive overview of commodities and is designed to equip anyone who desires to begin a career in investment banking, sales and trading, treasury, or other areas of finance which require an understanding of commodities.