Swaps or Over the Counter
Perhaps you need to hedge something smaller than 42,000 gallons or 1,000 barrels. Access to trading credit may be attractive. What if you need to hedge something that may not be heavily traded on the futures exchange like Conway propane options or RINs. You might need a weather hedge that is indexed to a weather station nearby, rather than one a major city. The good news is POWERHOUSE can help.
The over-the-counter (OTC) market is where customized swaps and options swaps are traded. POWERHOUSE works with several OTC counterparties, giving you access to the hedging tools you need.
Through our partners, we are able to offer our hedging clients state of the art tools to make hedging easier.
1.
POWERHOUSE Custom Quotes. The platform allows for online quoting and execution of customizable volume hedges. Quoting is easy. We can quickly quote structures of varying volumes and strikes. Markets covered: Propane (Both Mt. Belvieu and Conway), ULSD, RBOB, WTI Crude Oil and Natural Gas. Coming soon: RINS
2.
POWERHOUSE WEATHER Solution Center powered by Demex has everything you need to develop your weather hedging strategy. Not only can you get indications for weather hedges, but the Solution Center allows you to see historical data for thousands of weather locations. This data is very helpful in quantifying your weather risk. You can see how different strategies would have performed over time.
Schedule a Demo
Contact POWERHOUSE for more information or to schedule a demo.