Roving Grain Buyer Emphasizes Financial Controls

A new entry to the market space is Lighthouse Commodities of Bismarck — a "roving grain buyer" as regulated by the North Dakota Public Service Commission, but with an unusual array and combination of functions and strict internal financial controls, reportsAgWeek.

Lighthouse has a $2 million bond, and its contracts so far cover about 320,000 acres. Clients pay no up-front fee but a 1.5% "marketing fee" when cash grain is sold. There is no fixed per-acre fee that is more typical for consultants.

Lighthouse is unusual because marketing consulting/futures and options brokerages often don't actually execute cash grain trades, like Lighthouse does. And most cash trading companies don't offer access to a variety of cash markets and few also provide marketing, futures and options services.

Read the full report atAgWeek.