Core Viewpoint - The article discusses the development and implementation of a risk management platform called "Qizhi Hui" by Zhejiang Merchants Futures Co., Ltd. to assist a state-owned asphalt company in managing risks and utilizing financial derivatives for hedging purposes [1][24]. Group 1: Company Background - The asphalt company, referred to as Z Company, has a complete integrated supply chain for asphalt products, with an annual production capacity of 300,000 tons and a storage capacity of 50,000 tons [2]. - Z Company primarily uses high-grade petroleum asphalt and has a brand mix of 65% from Singapore (e.g., Shell, Esso) and 35% from domestic brands (e.g., Sinopec, PetroChina) [2]. - The company has historically faced devaluation risks due to a lack of risk management systems and has begun to shift its management perspective towards using financial derivatives for hedging [2][3]. Group 2: Service Solution and Process - Z Company has encountered challenges in implementing hedging strategies due to insufficient risk management systems and a lack of understanding of derivatives among employees [3][4]. - The risk management platform offers a comprehensive solution that includes centralized trading, risk control, automatic settlement, and statistical analysis to facilitate standardized management of hedging activities [4][5]. - The platform allows Z Company to input its procurement and usage plans, enabling intelligent analysis of future risk exposures [5][6]. Group 3: Hedging Process and Strategy - The platform features a rapid hedging module that generates hedging proposals and feasibility reports based on the company's needs, which can be optimized by hedging experts [7][9]. - Z Company plans to establish a virtual inventory with a maximum available capital of 100 million yuan, with an initial hedging ratio of 40% based on a price of 3,350 yuan/ton for asphalt [9][11]. - The platform provides a structured approval process for hedging applications, ensuring compliance with risk management protocols [14][15]. Group 4: Risk Management and Evaluation - The platform includes a risk monitoring module that allows real-time analysis and monitoring of risks associated with derivative trading [17][19]. - After the completion of a hedging project, the platform generates evaluation reports that analyze the correlation between spot and futures prices, profit and loss, and risk control measures [22]. - Z Company's hedging project in November 2024 resulted in a cost savings of 20.325 million yuan by locking in prices effectively [22]. Group 5: Industry Impact and Future Prospects - The intelligent risk management platform aims to lower the barriers for companies to participate in hedging, enhancing the effectiveness of risk management and reducing potential risks [25][26]. - The integration of digital technology in the futures industry is expected to improve service quality and efficiency, allowing for better risk management and support for economic stability [26][27]. - The platform's development aligns with regulatory goals of enhancing risk prevention and management capabilities within the financial market [27].