Comparative Study On Hedging Performance Of Building Engineering Materials

At present,the market environment of construction engineering is changing rapidly,and the price of construction engineering materials rises and falls in frequency obviously.The cost of raw materials accounts for about 60% of the total cost of construction projects.It is a new and effective means for construction enterprises to realize the target profit by hedging engineering raw materials with derivative financial instruments such as futures and locking the risk of material purchase price fluctuation.Although a series of futures related to construction engineering materials have been launched in China,due to the large fluctuation of futures and the unfamiliarity of construction enterprises with financial derivatives,the hedging process is often out of control.Generally speaking,the hedging operation of construction enterprises is not easy.This paper studies the existing theoretical system of hedging and some relevant cases and finds that the core of traditional hedging research is the determination of hedging ratio.However,through literature research and case study,it is found that timing is an important factor affecting the success or failure of hedging.This paper forms a new theoretical system of hedging through the optimization of timing and hedging proportion,aiming to increase profits while avoiding risks and realize strategy optimization.In this paper,the fundamental situation of building engineering materials is analyzed on the basis of rebar steel,and the problem of hedging timing is solved.In terms of research methods,the problem of timing of hedging is solved through the analysis of the industrial chain.However,in market economy,market regulation is an ex post facto regulation,and from the imbalance of supply and demand to the change of price inevitably requires a process with a certain time difference.Therefore,on the basis of the analysis of the industrial chain,the BP neural network prediction model is used to predict the future price of rebar steel,so as to solve the problem of timing from the hedging of the futures end to the opening node.