Risk management
ETRM evolution
As energy trading and risk management systems become increasingly sophisticated, Rana Basu of TradeCapture looks at what users need to consider as they progress from implementing and using the most basic to the most complex systems
Safe to come out?
As energy traders take stock after the unprecedented market turmoil of September, the Energy Risk team asks a range of key players what effects they expect the investment banking crisis to have on commodities trading and risk management
Pricing volumetric risk
Sergey Kolos and Konstantin Mardanov of Citi Commodities presenta general framework for pricing contracts with volumetric risk.They concentrate on a simple payoff and focus the discussion on themain challenge of such contracts, the pricing of the…
UBS exits commodities
Investment bank UBS has announced today that it will end its trading operations in the commodity markets, except precious metals.
Imarex takes majority stake in Bravo Futures
Freight broker Imarex has exercised an option to take a majority stake in Italian forward freight agreement (FFA) brokerage Bravo Futures. Bravo will now be known as Imarex Italia.
Parity launches new platform
Parity Energy, a New York-based brokerage, has launched the latest version of its online trading platform, Parity Energy Platform 3.0 (PEP 3.0).
Imarex to launch electronic Time Charter Equivalent contracts
Norwegian freight derivatives exchange Imarex will introduce the first electronic Time Charter Equivalent (TCE) contracts in October, the company has announced.
Linn Energy terminates $68m of commodity contracts with Lehman
US oil and gas company Linn Energy has terminated all of its commodity derivative contracts with Lehman Brothers, and has replicated and re-hedged each of the contracts at identical strike prices with an unnamed counterparty, Linn Energy announced.
India’s NCDEX launches futures contract in thermal coal
India’s National Commodity and Derivatives Exchange Limited (NCDEX) today launched a thermal coal futures contract.
Implied trees: Valuing exotic options
In this next installment of the Masterclass series, Jim Clark, Les Clewlow and Chris Strickland show how to value exotic options, using a calibrated local volatility surface consistent with market prices
Valid Assumptions Required: backtesting
Given the large number of assumptions made in calculating a value-at-risk, how can we have confidence in the quality of the resulting calculation? Brett Humphreys looks at using backtesting to evaluate quality.
The power of now
A real-time position reporting system is becoming an important tool for large energy trading firms. Sirius Solutions’ Brian Shydlo introduces the concepts, challenges and techniques associated with designing and implementing an RTP solution
Changing times at Centrica Energy
Constantine Vaitsas, Atlas transformation director at CentricaEnergy, describes how his company updated its tradingand risk management systems to meet the challenges of therapidly-shifting energy markets
Minor metals to make LME debut
Futures contracts for minor metals molybdenum and cobalt will be launched on the London Metal Exchange (LME) in the second half of 2009, the LME has announced today.
Icap to broker base metals on the LME
Interdealer broker Icap has launched a London Metals Exchange (LME) base metals broking business.
Constellation's ratings hit bodes ill for merchant energy players
Constellation Energy's excessive exposure to liquidity risk has contributed to a significant credit ratings downgrade for the firm, finds Jayne Jung