As UK children start to go back to school, it was a timely reminder that all of us should take time to improve our knowledge.  Today’s eighth webinar in the  LME–Euromoney series worked through a specific example of managing price risk with a LME traded option.  Particular attention was paid to what happens when an option is declared (i.e. exercised) or abandoned.  The range of potential outcomes was compared to using futures to manage the same risk to illustrate the differences between the two classes of instruments.