Products

Options

• Options on temperature degree days with or without energy price component are amongst the most popular hedging tools
• They might be tailored to all kind of retail portfolios
• Large utilities use them since more than 15 years
• Client pays premium but keeps upside
• Premiums between different risk takers vary up to 100%

Swaps and Collars

• Client pays less or even zero cost, receives protection on downside but looses upside
• Products rather stabilise cash flow instead of protecting income
• As client has potential payment obligation towards risk taker these structures are only accessible for large rated companies

All products are available as pure financial instruments or embedded into physical commodity delivery contracts.