The two-day training program provides a detailed insight into the most widely traded energy derivative instruments including forwards, futures, options and swaps – together with their potential for hedging and risk management. During the program you will explore specific characteristics to the energy products and understand the risks and rewards across sectors. You will gain a practical understanding of today’s energy markets and how derivatives are effectively used in price risk management. Case studies are used to facilitate learning.
After the course you will be able to:
- Explain the fundamentals of energy trading
- Identify different energy futures and their mechanics and applications
- Discuss the influential factors in the oil, gas and electricity markets
- Recognize the roles of hedgers, speculators and hedge funds
- Understand the risk management process and special characteristics in the oil, gas, and electricity sectors
- Define pricing, basis risk, margin and settlement types
- Understand futures and options nomenclature including premiums, exercise, assignment and settlement
- Discuss hedging strategies
- Recognize the role of exchanges, clearinghouses and regulators
Who is this course for?
Anyone interested in understanding energy derivatives markets and trading including producers and marketers; middle- and back-office personnel; corporate and municipal utilities executives; risk management personnel; legal and compliance staff and regulators.