Market risk
Enron’s online after-effects
Recent highly visible events in the US, including the Enron failure, the California electricity crisis and market power rulings by the government have all created considerable tumult and uncertainty, which are bound to have repercussions
Keeping score
This month Brett Humphreys and Zach Jonasson show how energy trading firms can compare performance using publicly available corporate information
Banks take shelter in derivatives
While some banks have found the weather derivatives market a non-starter, others are doing deals worth more than $100 million. Eurof Thomas reports
A smooth handover?
A change in the way weekly natural gas storage figures are reported is proceeding fairly smoothly – but it may still cause price swings, as Kevin Foster discovers
Quantifying technical analysis
In the last of our series of tutorials on risk management tools, Richard Weissman provides an overview of technical analysis for the energy business
At the end of the tail
When fat tails are present, extreme value theory provides a framework for estimating value-at-risk at higher confidence levels with greater accuracy than traditional Var methods. Naveen Andrews and Mark Thomas explain
Building blocks for complex probability distributions
Brett Humphreys demonstrates how to construct more accurate return distributions and use them to price options
Stand-off over hub plans
German firms Ruhrgas and BEB Erdgas & Erdöl and Norway’s Statoil say they want to work with Gasunie on developing the northwest European natural gas trading hub. Gasunie is making similar noises. So why the separate plans, asks Peter Joy
Dealing with price risk
FAME Information Services outlines the main issues currently affecting power prices and looks at how companies should be covering themselves against the risks posed by the continuing process of deregulation
Pause for thought?
Electricity deregulation in Ontario promises to avoid the price hikes and power shortages seen in some markets. So why are end-users unhappy? Kevin Foster reports
Navigating a troubled road
Don Stowers finds the online energy trading market place as competitive as ever, with several new platforms ready to enter the fray
Many are called, few are chosen
The market for power trading technology in Europe is mirroring the energy industry in the intensity of its competition. Benjamin Tait reports
Hedging ahead
Continuing our series of tutorials on risk management tools, Dan Rowe looks at how physical positions can be hedged with exchange-traded futures and options contracts
Growing quietly
The liberalised German markets now allow large industrial end-users to manage their energy price risk. But, while the competition to manage their exposures is large, these firms are playing their cards close to their chests, reports Joel Hanley
Clearing the way?
The German over-the-counter market has been growing quickly in recent years, but a series of shocks has sparked fears of credit risk exposure. Can trading regain recent highs and save the OTC market from credit-wary traders, asks Joel Hanley