What We Do For You
Developing and executing a risk management strategy in energy markets can be daunting. Petroleum futures markets are generally described as volatile, unmanageable, even chaotic. There are times when markets react violently to activities in the geopolitical world And while episodes of volatility roil market prices, you must continue to operate your business.
With the right strategy, disciplined execution, and a trusted partner you can minimize the effect of energy price volatility through hedging.
POWERHOUSE can be that trusted partner. We help businesses like yours throughout the lifecycle of a hedging program. Some of our services include:
- Strategy Development
- Market Monitoring
- Trade Execution
- Position Monitoring
- Staff Training
- Software
Strategy Development
Focuses on what you are trying to accomplish. These might be (1) selling at fixed price, (2) offering a maximum price or any of a number of strategies. POWERHOUSE helps construct financial structures to meet your needs.
Market Monitoring
Market Monitoring is important to running a disciplined hedging program and is central to determining when a financial structure is established or liquidated. POWERHOUSE has many years’ experience in watching geopolitical activity brought to bear on these recommendations.
Executing the Trade
Executing the Trade requires placing orders that don’t disturb the market. Techniques like introducing trades in small lots or icebergs can be valuable in solid execution.
Positions Monitoring
POWERHOUSE monitors client positions using state of the art software to ensure your hedging program continues to work for you, and to avoid market ‘surprises’.
Staff Training
Staff Training is important to our clients for building internal expertise to use hedging activities to protect margins and support revenue growth. POWERHOUSE offers custom training, and regular off-site sessions of our Practical Fuel Hedging class.
Software
POWERHOUSE has developed software to help our clients monitor and manage their hedge programs. This software matches actual and financial positions. It helps balance the hedger’s risks, and provide visibility of hedging and physical activities.