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Hedging and Management of Energy Price Risk

Course Synopsis

The global economic slowdown has dampened demand for commodities, triggering a downtrend in commodity prices. In the wake of the sharp plunge in oil prices and the ensuing period of volatility, many players face potential losses if they are on the wrong side of trade. Given the complexity and substantial size of energy trades, professionals involved in the trading and financing value chain need to possess vital knowledge to manage risk exposures and ensure sustained profitability. 

The 2-day intensive workshop aims to impart practical approaches to identify, manage and hedge energy price risks in real life situations. Participants are given ample opportunities to gain hands-on experience by analyzing cases involving oil producers, refiners and consumers, and trade simulation exercises. 

Learning Objectives

  • Understand the market structures and dynamics of physical and paper trades
  • Know about hedging tools for protection and opportunities
  • Explore hedging instruments for managing flat price, spreads and basis risk
  • Learn about hedging strategies, risk and limitations
  • Gain hands-on experience via trade simulation exercises and case studies

Who should attend

This workshop is highly recommended for professionals that are engaged in marketing, trading, financing and risk management of energy trading:

  • Energy traders keen to learn about risk management and hedging of energy prices
  • Corporate treasurers, finance directors in energy trading
  • Relationship managers, corporate bankers who advise energy trading companies
  • Trade finance specialists involve in financing of oil trade
  • Professionals in middle and back office of banks and corporate, in functions such as credit, risk, audit and operations, who are responsible for risk management of energy trades

Last updated on 28 Mar 2018 .