Risk management
Cutting edge: Jamshidian decomposition for pricing European energy commodity swaptions
In this article, Hamid Arian and Ion Rada propose a practical method for calculating the exact price of energy commodity European swaptions under the standard Markov diffusion model for energy commodity futures term structure. Their argument faithfully…
LME hires senior executives for clearing effort
Citi swipes Ron Ruffini from Barclays; Gunvor appoints Julien La Chon as head of development for Asia; Koch Supply & Trading makes Rosario Sgarioto LNG head
Nucor praised for pursuing natural hedge
US steel maker’s acquisition of natural gas assets is seen as viable long-term hedge and an alternative to derivatives
Energy Risk Europe: Austrian Airlines risk manager rails against hedging
Austrian Airlines risk manager argues fuel hedging delays firms' adaptation to higher costs and should be avoided
Sponsored webinar: BNP Paribas
In this sponsored webinar, we explore how market participants can benefit from exposure to commodities via index products
Energy Risk Asia awards dinner
Energy Risk honoured success at the annual Asia awards dinner held in Singapore on September 26 following our Asia conference. We showcase the winners
Energy Risk Europe: The challenge ahead
A tough economic environment, sluggish trading activity and regulatory reform all left their mark on Energy Risk Europe this year, where market participants discussed the many threats looming over the industry and how to overcome these challenges…
Energy market focuses on counterparty risk
The critical importance of counterparty risk management was demonstrated by the bankruptcy of Lehman Brothers in September 2008. In response, banks and other energy market participants have been trying hard to improve their game. Gillian Carr reports
Uncleared margin rules threaten E&P hedging
Exploration and production companies can find it difficult to satisfy collateral demands when looking to hedge their output using derivatives. Now, Dodd-Frank threatens to make this even harder with margin requirements for uncleared trades. Alexander…
People moves in energy markets
Energy Risk catches up with the latest appointments, promotions and departures in global commodity markets
European Commodity Clearing adds two board members
Management board of European Commodity Clearing brought into line with parent company
Banks retreat from commodity derivatives
Increasing capital requirements and other regulatory constraints are cutting the headcount and risk-taking ability of banks in commodity and energy derivatives. Might this diminished role pave the way for less regulated participants to take their place?…
Using credit valuation adjustment to set limits
In their previous article, Carlos Blanco and Michael Pierce introduced the concept of credit valuation adjustment (CVA). In this next instalment, they explore CVA allocation methods and discuss alternative structures using CVA to set limits, credit…
CFTC offers last-minute Dodd-Frank relief
Agency eases compliance burden for commodity and energy firms
Oil price reporting agencies' principles won't deter manipulation, say critics
International Organization of Securities Commissions principles for oil price reporting agencies fail to silence critics
Trading positions: October 2012
Energy Risk catches up with the latest appointments, promotions and departures in global commodity markets
Is risk modelling keeping up with the energy market?
Lean times in energy and commodity derivatives trading have caused a cutback in the amount of time and resources spent on energy risk modelling – a worrying trend that could leave firms unprepared for future market challenges, argue some experts. Mark…
Energy Risk Europe: Indexes won’t be included in MAD, say panellists
Energy indexes may not be included in EU market abuse rules, but remain likely to be hit by further scrutiny
Position limits rejection lifts compliance burden
Rejection of Commodity Futures Trading Commission rule brings short-term relief and longer-term uncertainty, say consultants
Experts question shift in Mexico oil hedging strategy
Use of put spreads in oil hedging programme leaves Mexico dangerously exposed to low oil prices if global economy sinks
Energy Risk's Asia awards 2012
Energy Risk's annual Asia awards, now in their fifth year, honour innovation and achievement in Asian energy derivatives markets. A ceremony for the winners was held in Singapore on September 26 and here we reveal the winners and why they triumphed
