Operational risk
Adapting to change in agricultural commodities markets
The continued evolution of commodity markets has necessitated the development of new risk management strategies and created demand for a more diverse pool of trading partners.
Managing risk in agricultural commodities
Agricultural commodities are rarely written about in the mainstream financial media, and often only hit the headlines when an extreme weather event or natural disaster affects supply and prices.
‘Over-broad’ CFTC rules hurt end-users, Giancarlo says
Chris Giancarlo, the sole Republican on the US Commodity Futures Trading Commission, says Dodd-Frank rules are failing energy firms, farmers and other hedgers. In an exclusive interview with Alexander Osipovich, he urges a rethink of the agency’s…
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
Pemex ramps up risk management amid energy reform
Mexico's energy reform is leading state-owned oil and gas giant Petróleos Mexicanos to boost its risk management activities and consider new strategies for commodity hedging
E&P firms restructure hedges amid oil price plunge
Oil exploration and production companies in North America are looking to restructure hedge positions that have become extremely valuable since the dramatic decline in crude oil prices during the second half of 2014
Citi buys Credit Suisse commodity trading books
Citi has entered into a transaction to take on most of Credit Suisse's energy and metals positions, following the Swiss bank's exit from commodities and similar deals with Deutsche Bank earlier this year
Energy traders mine Dodd-Frank data for market insight
Public data feeds required by the US Dodd-Frank Act are offering banks and energy trading firms a window into transactions taking place in uncleared over-the-counter commodity derivatives
Battery storage to transform power market models
The development of economical battery storage could rewrite the rules of electricity trading and create a need for newer and more sophisticated models, say market participants
Vitol will not replace banks in energy hedging, says CEO
Liquidity provision in energy derivatives markets is not Vitol's role, says the trading house's president and chief executive, Ian Taylor, despite the retreat of major investment banks from commodities
Oil slump expected to lure investors back to commodities
Return of volatility in crude oil prices creates trading opportunities for hedge funds, market participants say
CFTC chairman vows to 'get it right' on position limits
Chairman seeks to reassure farmers worried about bona fide hedge exemptions in proposed position limits rule
Energy Risk Software Survey & Rankings open for voting
Your chance to participate in Energy Risk's annual energy trading and risk management software survey and rankings
Actively managing risk culture in energy firms: part two
Cultural failings have played a critical role in many well-publicised energy risk management failures, but risk culture is challenging to monitor and assess. In the second part of this series, Carlos Blanco, Jean Hinrichs and Robert Mark propose a…
Head of metals trading leaves Credit Suisse
Emea power head leaves Citi; Noble makes two new hires; Morgan Stanley hires BAML's Felgate; Ex-Deutsche MD joins consultancy; CME energy chief departs
Energy evolution set to reshape risk management
During the next 20 years, the energy industry is expected to undergo transformational technological change, shaking up traditional patterns of correlation between different energy markets and creating demand for new types of instruments and more…
JP Morgan commodity heads reveal plans for the future
JP Morgan sold its physical commodities business to Switzerland-based Mercuria in October, a major retreat after years of aggressive expansion in energy and metals. But in an exclusive interview, the bank’s new global co-heads of commodities tell…
CFTC slammed for using ‘ancient’ position limits data
Energy firms are criticising the CFTC's proposed rule on commodity derivatives position limits under Dodd-Frank, saying it relies on decades-old data to set spot-month limits
Mifid II must recognise that commodities are different
Mifid II is one of the most significant pieces of post-crisis financial reform, and threatens to engulf commodity trading firms in rules aimed squarely at financial services firms
Knowing your territory is vital for energy firms
Energy firms must operate in many different countries, with a variety of legal systems and cultural traditions. Strong knowledge of these areas is crucial if companies are to avoid being ensnared in a legal and regulatory minefield, writes Vincent…
Commodity trading firms piece together Mifid II jigsaw
Mifid II is certain to have a big impact on commodity trading firms, but market participants say that piecing together the precise effect of the legislation is difficult due to undefined terms and its complex links with other European rules. Stella…
TrailStone's Silbert says the best is yet to come
TrailStone chief executive David Silbert never expected to embark on a career in commodities, but the company he founded in April 2013 is now the talk of the industry, writes Mark Pengelly
Low volatility boosts interest in coal derivatives
Rising activity at commodity trading houses and hedge funds is contributing to high trading volumes in coal derivatives, while some producers are also increasing their involvement in the market
Former CME Group energy head Morsches to leave
Gary Morsches, the New York-based former head of energy at CME Group, is to leave in early 2015, following the appointment of Martin Fraenkel as global head of energy