Operational risk
European gas trading boosted by uncertain outlook
Volatility in European natural gas is soaring due to upheaval in Ukraine and an unusually high amount of gas in storage, prompting a rise in hedging and financial trading
CFTC quietly amassing data on natural gas swaps
Numerous energy companies have received special calls from the CFTC in the past year, say lawyers, but the reasons for the agency's interest remain murky
Energy firms rely on patched-up solutions for reporting
Under new rules in Europe and the US, energy firms have to aggregate trade data from a variety of internal sources and report it to repositories. While it was hoped this process could lead to wider improvements in analytics, risk management and…
Power companies slam New England reliability plan
Electricity companies are criticising "unreasonable" and "discriminatory" measures designed to keep New England's lights on during the coming winter, arguing in favour of a longer-term fix
Cosgrove moves into ethanol trading after GFI
After a three-decade career in energy brokerage, Michael Cosgrove has reinvented himself as an ethanol trader. Alexander Osipovich finds out why
Tougher UK Remit sanctions to be felt across EU
Proposed UK criminal penalties for manipulation and insider trading under Remit would have "very broad" effect across European energy market, according to lawyers
Energy firms fight for right to hedge at portfolio level
CFTC position limits rule could limit the ability of energy firms to hedge, unless they aggregate commodity derivatives positions held across disparate business units
Banks down, but not necessarily out, in commodities
Investment banks are making deep cuts in commodities, but they are not departing from the market entirely
UK power market investigation overshadowed by EMR
A Competition and Markets Authority (CMA) probe into the UK power market, which may result in a radical shake-up of the sector, is coming amid major changes to the industry under Electricity Market Reform. How the CMA reconciles this will be closely…
US utilities invest in shale gas wells as long-term hedges
Florida Power & Light becomes latest US utility to pursue acquisition of natural gas production assets as risk management strategy
Looking back: Lehman stirs credit and liquidity risk fears
Six years ago, the bankruptcy of investment bank Lehman Brothers sent shock waves through energy and commodity markets, as Energy Risk reported in October 2008
Commodity desks breathe sigh of relief over Volcker
US banks say their initial concerns over the Volcker rule of Dodd-Frank have turned to relief, as the rule's drafting allows them to continue making markets in commodity derivatives
Ercot ‘small fish' rule criticised amid CFTC probe
Amid consternation over the activities of GDF Suez Energy North America in the Texas power market and an investigation by the US Commodity Futures Trading Commission, some market participants are questioning the legal protection afforded to smaller…
Bespoke OTC reporting a struggle for energy firms
European energy trading firms say they are finding compliance with Emir trade reporting rules onerous and heavily reliant on manual intervention, particularly when it comes to non-standard trades
John Arnold looks back at 17 years of energy trading
In an exclusive interview, John Arnold talks to Alexander Osipovich about the extraordinary success of his former hedge fund, Centaurus Advisors, the difficulty of hiring good traders and why he walked away from energy trading after 17 years
Energy markets need more than second-hand credit models
In the energy markets, models transplanted from financial markets often fall down when it comes to credit risk. This occurs for a variety of reasons, not least because energy markets are prone to seismic institutional and technological shifts, argues…
Energy Risk unveils lifetime achievement award winners
Energy Risk has named the winners of its 20th Anniversary Lifetime Achievement Awards – a special one-off prize recognising 20 individuals who have contributed to the development of commodity trading and risk management
Bertuccio leaves JP Morgan for Glencore Xstrata
JP Morgan oil origination veteran Michael Bertuccio has been appointed as head of origination and principal investments at Glencore Xstrata
Energy Risk 20th Anniversary Lifetime Achievement Awards
To mark 20 years since its launch in 1994, Energy Risk is honouring 20 individuals who have made a tangible contribution to the development of commodity trading and risk management
Energy Risk Awards 2014: Houston and London photos
The annual Energy Risk awards celebrate success across the commodity and energy markets, with a particular focus on client service. This year’s winners were honoured at gala dinners held in Houston and London during May and June, respectively
Actively managing risk culture in energy firms: part one
Risk culture lies at the root of many of the most publicised energy risk management failures. In the first instalment of a two-part series, Carlos Blanco, Jean Hinrichs and Robert Mark explore how energy firms can define, assess, benchmark and actively…
Energy trading firms may rue the decline of quants
Quant finance transformed energy markets, but has been met with a lack of enthusiasm and investment since the financial crisis. That is a shame, say industry veterans, who point to a number of areas that could benefit from a renewed focus on quantitative…
UK electricity market likely to be hit by CMA probe
A shake-up of the UK power market is viewed as one likely outcome from a competition investigation into the country’s energy sector, but observers say the probe is being overshadowed by forthcoming regulatory reform
EC's Ristori worries about energy security post-Ukraine
The EC's director-general for energy expresses fears about Europe's continued reliance on Russia for energy imports amid the crisis in Ukraine, in an exclusive interview with Energy Risk