Date of Award

2013

Publisher

North Dakota State University

Document Type

Thesis

Degree Awarded

Master of Science (MS)

Program

Agribusiness and Applied Economics

Department

Agribusiness and Applied Economics

College

Agriculture, Food Systems and Natural Resources

Faculty Advisor

Wilson, William W.

Description

The purpose of this thesis is to research methods that will be used to discover the profitability and risk of spatially arbitraging soybeans. A portfolio is used to analyze trading strategies, and the dependence measures is critical when simulating all of the variables. The dependence measures will aid in selecting the appropriate assets for the portfolio. The profits and risks for each asset will be analyzed and an optimization procedure will weigh the assets appropriately in bushels. Strategizing has become very important for merchandisers, because of the added risk associated with trading commodities. The results indicate that spatial arbitrage profits exist, but each origin does not always have spatial arbitrage opportunities. These trades carry a great deal of risk as a firm becomes more vertically integrated.

Rights

NDSU policy 190.6.2

Rights Link

https://www.ndsu.edu/fileadmin/policy/190.pdf

Handle Identifier

https://hdl.handle.net/10365/26912

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