Weather risk
Energy Risk launches weather derivatives survey
Energy Risk , the leading publication for energy trading and finance professionals, today launched its first annual weather derivatives survey.
Weather patterns
OTC weather derivatives volumes are down around 20% on last year, but exchange-tradedweather futures are on the up. Paul Lyon looks at WRMA’s annual survey,and reviews the past year’s trends in the weather risk market
Tepco hedges weather
The Tokyo Electric Power Company (Tepko) has entered into weather derivatives contracts with both Tokyo Gas Company and Osaka Gas Company. The deals have been finalised in a bid to limit the effect on Tepco’s earnings from summer temperature conditions,…
WRMA elects new president
The Weather Risk Management Association (WRMA) today said that its vice president, Brian O’Hearne, has stepped up to serve as the association’s president. O’Hearne is also president and chief executive of Kansas City-based GuaranteedWeather.
OTC weather trades fall; exchange trades rise
The weather derivatives market is shifting from an over-the-counter (OTC) market to an exchange traded one, according to the 2004 Weather Risk Management Association (WRMA) survey.
Munich Re launches weather desk
Munich Re, the world’s largest reinsurer, has established a New York-based weather derivatives desk in its Munich American Capital Markets division.
Wine bar hedges weather
UK-based Corney and Barrow Wine Bars has entered into a group wide weather derivative hedge with XL Trading Partners, the Connecticut-based weather risk management company.
Fair weather future
Judging from the success of the weather risk market in the Asia-Pacific region,the Chicago Mercantile Exchange couldn’t have picked a more opportune timeto launch Japanese weather futures. By Paul Lyon
A fact of life?
Can the price risks associated with abnormally cold winter temperatures and theirimpact on short term energy demand be predicted ahead of time? Logical InformationMachines’ Sandy Fielden investigates recent freezing temperatures in Boston,Massachusetts
Bank of America settles for $17.85m in weather derivatives lawsuit
For four years, Bank of America has been seeking recompense for a weather derivatives deal written by the now-defunct CWWIA. Finally, the bank has settled its case. By Paul Lyon
Storms ahead
Weather traders in Europe are celebrating the issuance of an innovative catastrophe bond by EDF. Meanwhile, US traders are concerned over attempts to regulate weather risk contracts as insurance, rather than derivatives. By Paul Lyon
Mark Tawney
Mark Tawney, head of Swiss Re’s weather desk, admits that more work is needed if the weather risk markets are to reach maturity. By Paul Lyon
Weathering the storm
Natural gas markets are thought to be one of the most sensitive to changes inthe weather, but how much do other factors affect price movements? MaryAshleyHall , energy market specialist with Fame, looks at some tried and tested methodsof managing weather…
Winter of content
Some forecasters are warning of a volatile winter in Europe and the US, whichmeans fluctuating demand for fuel over the coming months. Weather derivativestraders are hopeful of an upturn in business. By Paul Lyon
Weathering the problems
Weather derivatives can reduce or eliminate the potential economic disastersthat extreme weather can provoke. Ross McIntyre of Deutsche Bank examines thevarious ways in which weather can affect key industries and reviews the benefitsof weather derivatives
A discrete affair
Abstract: Dario Villani, Raffaele Ghigliazza and René Carmona extract the frequency content of a noisy signal using discrete Fouriertransform. After calculating the deterministic component, we show the relevanceof the method in removing spurious…
Chicago Mercantile Exchange to list European weather contracts
The Chicago Mercantile Exchange (CME) has started offering European weather derivatives, referenced on five cities’ temperatures.
Farms weather power shortages
Farmers in both hemispheres are struggling to cope with heat waves and droughts while pondering the prospect of future power supply disruptions, finds Maria Kielmas
WRMA to campaign on data and against normalisation
Lynda Clemmons, president of the US Weather Risk Management Association (WRMA), is to sit on an American Meteorological Society (AMS) panel to address issues in the weather industry involving weather data and public-private partnerships.
Warming to the exchanges
Weather derivatives may not be the most widely traded product on exchanges, but new initiatives and strong trading volume at the Chicago Mercantile Exchange bode well for the development of a mature exchange-traded market. Paul Lyon reports
Management buys out SG’s weather and cat bond funds
Société Générale’s (SG) weather derivatives team completed an amicable management buyout of the weather division at the French bank. The buyout creates what is believed to be the largest range of dedicated weather derivative and catastrophe bond funds,…
Icap shuts London weather desk
Inter-dealer broker Icap exited the European weather and environmental derivatives market last month. It thereby joined the growing ranks of other market participants – including BNP Paribas, Aquila and Italian bank Intesa BCI – that have fled the…