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The Basics of Livestock Gross Margin

As a livestock producer, you work hard to raise your herd. However, in today’s volatile market, changing feed costs and livestock prices can negatively affect your bottom line. Stockguard’s customizable Livestock Gross Margin coverage plans help you protect your operation against sudden market changes. 

What is Livestock Gross Margin?

LGM is a federally-insured risk management solution that protects your investment against unexpected market changes. It protects your bottom line against a rise in feed prices, a rise in feeder cattle costs, and a drop in live cattle prices. 

What Is Your Gross Margin Guarantee?

Your gross margin is the market value of your livestock, minus the costs of feeder cattle and feed. When you use LGM, you’ll receive a gross margin guarantee, which acts as a safety net. Even if market prices fluctuate, you’ll never receive less than your coverage value. 

Customize Your Policy

Our agents are here to help you tailor a coverage plan that meets your operation’s individual needs. Customize your policy by choosing your commodity type, market timeline, and coverage level. 

Getting LGM With Stockguard

Our portal makes it easy to order an LGM coverage plan in less than a minute. 


  • Submit a free application
  • Place an order
  • Rest easier knowing that your operation is secure


We provide simple, transparent, and affordable risk management solutions. Track and manage you coverage plans and USDA market positions in real time, or with one of our agents.

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