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The freight derivative market is increasingly being seen as the place to complete the risk-management jigsaw – the market in forward freight agreements (FFAs) quadrupled last year. The FFA market offers an attractive hedge against volatile freight prices, but also enough arbitrage opportunities to have a hedge-fund manager in clover. But competition is cut-throat and the risk of market fragmentation is a concern. Our cover story on page 16 asks whether this market is now ready to move onto

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CRO interview: Brett Humphreys

Brett Humphreys is head of risk management at environmental markets specialist Karbone. He talks to Energy Risk about the challenges of modelling outcomes in unpredictable times and how he’s approaching the risks at the top of his risk register

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