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Enterprise risk

TXU finds the right combination

Kevin Foster looks at the reasons behind TXU Energy’s choice of Knowmadic’s Integration Suite data management software, and at the product’s features

Enel waits on liberalisation

While Italian energy major Enel Group has systems in place to manage its individual market risks, it is delaying any decision on enterprise-level risk management software until Italy decides how it will proceed with energy liberalisation, finds Clive…

Techno prisoners

IT disasters can bankrupt companies, so software vendors should be available 24-7. But often mergers and sales mean the software supplier no longer exists in its original form. What can the buyer do then? Joel Hanley reports

APB Energy’s winning formula

Kentucky-based APB Energy is one of the leading energy brokerage firms in North America. It has maintained its growth despite Enron fallout, perhaps due to its diverse range of services and locations. Kevin Foster reports

Building a bridge to Var

Value-at-risk (Var) is a technique often applied to the energy industry. But there are limitations to its use. Here, Leslie McNew aims to bring these limitations to light, and thereby give practitioners confidence in the use of Var

Mean-reverting smiles

Commodity markets such as crude oil exhibit mean reversion as well as option smiles. David Beaglehole and Alain Chebanier meet this challenge, constructing a model suitable for pricing exotic options in these markets

Utilities renegotiate to survive

For the past 10 years, Argentina’s privatised utilities have been icons of successful energy sector reform. But with the country’s deepening crisis, they face increased difficulties. What can investors do to mitigate such risks, asks Maria Kielmas

Keeping score

This month Brett Humphreys and Zach Jonasson show how energy trading firms can compare performance using publicly available corporate information

Covering the threat

Since September 11, energy companies have had to re-assess the threat of terrorist attack. Despite the insurance industry introducing new terms and products, some companies remain unprotected, as Joel Hanley discovers

Counterparty concerns

Following the California crisis and the fall of Enron, energy firms are finally paying more attention to credit risk. Here Fred Cohen, Satyan Malhotra and Rafael Cavestany present some overarching issues senior management must address in implementing an…

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