Commodity risk
Managing commodity risk in turbulent times
Faced with today’s razor-thin margins, firms must be able to monitor all risks holistically, in real time and to hedge effectively. This brings technological challenges, and many firms are now grappling with issues such as getting the right datasets,…
Moving to the cloud: The next frontier for E/CTRM systems?
As energy and commodity firms cut their IT budgets, a growing number of companies are exploring hosted solutions as a way to cut costs and make their IT infrastructure more nimble
Florida utilities’ $6bn hedging loss spurs public backlash
Firms face heat over out-of-the-money natural gas hedge transactions
Quant ideas: Strategic versus tactical risk management
Strategic or enterprise risk management has long been seen as something of a Holy Grail for risk managers. However, the susceptibility of enterprise risk tools to poor quality data means the whole effort is likely to be misguided, argues Krzysztof…
Is the financialisation of commodities being reversed?
In the past 30 years, a process of financialisation has drastically reshaped the energy and commodity sector. Now, it appears the level of diminishing marginal returns has been reached and that process is shifting into reverse, says energy market veteran…
Energy trading: the past, present and future
As part of Energy Risk's 20th anniversary, Energy Risk looks at the development of energy trading and risk management, as well as what may lie ahead for the industry in the next 20 years
RWE trading chief looks forward to retirement
Commodity markets have been through many changes since Stefan Judisch first began his career 30 years ago. As he prepares to retire as chief executive of RWE Supply & Trading, he talks to Gillian Carr
American Airlines to stop fuel hedging after merger
US Airways policy of not hedging jet fuel will now extend to American Airlines, says chief executive
Sovereign hedging picks up as developing countries end fuel subsidies
A push to eliminate fuel subsidies across much of Africa, the Middle East and Asia is raising interest in the use of commodity hedging by governments as a way of containing social unrest. But it remains a challenge to get sovereign commodity hedging…
NGL hedging takes off amid shale gas boom
US production of natural gas liquids (NGLs) has surged in recent years, causing NGL derivatives trading to expand as market participants hedge more of their output. But the market for NGL risk management products remains a work in progress, finds…
Aggressive oil hedging enables Plains E&P’s big deepwater play
Plains Exploration & Production will hedge up to 90% of its oil production for the next three years, the Houston-based company says as it reaches a deal to buy $6.1 billion of oil assets in the Gulf of Mexico from BP and Shell
Operational risk to reduce Iraqi oil supply and exports
Iraq, one of the world’s largest locations with proven oil reserves, will not be able to hit governmental production targets due to the level of operational risk, say experts
Video: Interview of Natixis's Asia-Pacific energy chief
Charles Maulino, head of global energy & commodities coverage, Asia-Pacific at Natixis, speaks exclusively with Lianna Brinded about the evolution of energy and commodities financing and hedging strategies
Video: Isda Asia-Pacific chief says new regulations 'potentially dangerous'
Keith Noyes, Asia-Pacific regional director at the International Swaps and Derivatives Association (Isda), speaks to Lianna Brinded about regulatory changes and the impact they will have on the energy and commodities markets.
Q&A - Tertiary Minerals executive chairman Patrick Cheetham
Fluorspar is a vital commodity used by major industrial end-users, from defence to the steel industry. As fluorspar reaches a critical shortage level, Lianna Brinded speaks to Patrick Cheetham, the executive chairman of Tertiary Minerals about risk…
BNP Paribas reshuffles global equities and commodities derivatives business
French bank BNP Paribas has reshuffled its global equity and commodity derivatives (GECD) business units and says there are no job losses
France to tighten commodity derivatives regulation
France has warned the European Commission that it will tighten its commodities derivatives regulation to prevent the risk of big swings in commodities prices
End-users adopt more complex hedging tools and methods
End-users’ energy and commodities hedging strategies are growing in sophistication as they adopt more complex products and non-traditional tools, says the head of RWE npower’s optimisation desk
Statoil stung by hedging derivatives losses
Norwegian oil and gas giant Statoil's results are hit by major losses on hedging derivatives in spite of a rise in profits and production
Shell Gas chief: end-users will face credit issues - Exclusive
Shell Gas Direct’s chief tells Energy Risk that major end-users’ credit worthiness will be one of four major challenges for industrial and commercial users in the next few years
Reform bill forces energy risk management rethink
New US derivatives regulation is expected to compel companies to redefine their risk management strategies