Energy
Risk and responsibility
A growing number of banks are producing sustainability reports detailing their environmental and socially responsible initiatives. Is this just slick PR or has sustainability become an important risk management consideration? Clive Davidson investigates
Sponsor's article > Expected Positive Exposure: Achieving Basel II Compliance Strategically
Enhancements to Algo Capital provide robust and realistic EPE values for counterparties across the trading book, while taking into account complex forms of credit mitigation.
A question of longevity
Pricing and management of longevity risk is gaining in prominence for life and pensions companies. But the market for longevity risk on the pension side remains underdeveloped
Leading the pack
Nordic banks are well ahead with their Basel II programmes compared with their international peers. But there are concerns about home regulator rules and advanced credit risk data requirements. Laurence Neville reports
CEBS defends record
LONDON – The accomplishments of the Committee of European Banking Supervisors (CEBS) over the past 12 months were outlined by Danièle Nouy, vice-chair of the organisation, at a British Bankers’ Association conference in London in mid-October. Although…
Pushing the boundaries
The introduction of IAS 39 this year has caused some corporate treasurers to rethink their use of derivatives. Banks are looking to structure derivatives solutions that achieve the economic objective of a hedge, while avoiding undue volatility on the…
Capital modelling: Correlations in ESGs
Hoping to gain a competitive edge, leading life companies are demanding more control of their capital calculations, but can their ESG suppliers keep up with the demand?
TFS hires ex-weather broker to emissions desk
Tradition Financial Services (TFS) has hired Frederique Leverett, formerly a weather derivatives broker, for its London-based emissions desk.
Warming to exotics
Structured products
A step up the ladder
Basel II
Leading the pack
Basel II
Carbon complexities
The EU ETS adds price complexity to European energy markets and the trend towards pan-European markets means far more complex models will be needed to model carbon risk, writes Bjorn Brochmann
How long will the shopping spree last?
China appears set on a programme of foreign energy asset acquisition. Maria Kielmas looks into the implications for the energy industry
Francis Van Der Velde
Francis Van Der Velde of Brussels-based Fuel Purchasing & Consulting is more aware than most of the pain airlines are suffering
The right of refusal
Traders have learned that giving away free financial options can be costly. However, free options can take many forms. Brett Humphreys and Tamara Weinert discuss the value of a risk management option that can easily be given away
Congestion charges
As the US' premier regional transmission organisation, PJM Interconnection's pricing and transmission congestion models must be foolproof. Sandy Fielden describes how they work and the associated risk management mechanisms available to participants
Off to a flying start
Aviation is one of the fastest growing sectors in terms of carbon emissions, but a move by the European Commission to include airlines in the EU's Emissions Trading Scheme has alarmed some in the industry
A matter of principal
Developing term structure models can be tricky, as unknown factors and non-observable variables can affect futures prices. But principal components analysis is useful in tackling these problems. Here, Delphine Lautier uses PCA to pin down price movements…
Papering over the cracks
High energy prices are forcing pulp-and-paper makers to take action against falling profits, yet most companies are still shying away from energy price hedging. But that situation may be slowly changing. Joe Marsh reports
Leverage lift-off for new CDOs
Structured credit
CEBS defends record
REGULATORY UPDATE
Asia’s op risk quantification challenge
ASIA OP RISK