Energy Hedging Myths Demystified - Part I
This post in the first of a new series where we'll be demystifying various myths related to energy hedging, myths which we hear repeated all too...
Energy (3)
Energy Hedging Advisory Firm of the Year
We're thrilled to announce that Energy Risk has awarded us Hedging Advisory Firm of the Year. Regarded as the benchmark awards for the global energy...
Can NASDAQ, SGX & SHFE Compete with CME & ICE in Energy Markets??
On Friday NASDAQ Futures (NFX) launched twenty-six “new” commodity contracts in an attempt to take market share from incumbents CME (NYMEX) and ICE....
Is Vertical Integration A Sound Energy Hedging Strategy?
If you read our blog regularly you've likely to have read one of our posts regarding alternatives to hedging energy price risk with futures, swaps...
Passive vs. Active Energy Hedging Strategies - Part II
After trading as low as $3.125/MMBtu in mid February and as high as $4.444/MMBtu in early May, NYMEX natural gas futures have recently given up...
Passive vs. Active Energy Hedging Strategies - Part I
As all large fuel consuming companies know all too well, fuel prices have increased significantly over the past few months. After posting 2013 lows...
Does Hedging with Costless Collars Present Additional Basis Risk?
Over the past couple years we have addressed various aspects of both basis risk and costless collars however, until now, we have not addressed the...
Costless Collars - Energy Hedging Friend or Foe?
As has been the case many times in the past and certainly will be many times in the future, the debate regarding the advantages and disadvantages of...
How to Reduce Basis Risk by Hedging with Options - Part II
A few weeks ago, in a post titled How to Reduce Basis Risk by Hedging with Options - Part I, we looked at how a large fuel consumer, such as an...
Hedging Energy Risk with Price Targets: A Losing Proposition?
In our role as energy hedging advisors, we regularly receive inquires from companies who have had a difficult time, if not worse, in producing...