1. CropsProfit Help Centre
  2. CropsProfit Methodology

How do put options work in CropsProfit?

Put options are necessary marketing instruments for your pre-harvest strategy.

  • During a season's pre-harvest period, put options are used as Marketing Tools to sell your Uncertain Harvest. 
  • Put options are typically bought for a season's Contract Month. It is the month in which a season's harvest will be completed.
  • The cost of put options is typically the cost of "At the money put options". Make sure to regularly update this cost by tapping on a season, then the update button at the bottom of the season detail screen and under Marketing Tools, tap on the Uncertain Harvest button. Get a quote from your registered trader or ask him/her to update it regularly as a team member.
  • Remember that put options become short futures positions when they expire. It is best to have a registered trader on your CropsProfit team to help you manage this. 
  • You do not have to use put options? To select "No Action For Now", tap on a season, then tap on the update button at the bottom of the screen. If you want this selection to apply to the whole season, you must first tap on the marketing cycle at the top of the screen just below the season name and scroll down to the season's first marketing cycle. Then scroll down to Marketing Tools on the "Update" screen, tap the "Uncertain Harvest" button, and select "No Action For Now".