Risk management services

Power-Deriva helps its clients to comprehensively manage the risks related to the energy business. Success in constantly changing markets calls for solid experience. We provide our clients with consulting services based on up-to-date information on the overall position of the client’s portfolio and the markets.

Portfolio management

In-depth understanding of the client’s business and market insight are the cornerstones of our portfolio management consultation. Our portfolio management services comprise business modelling and calculation services for the client’s business, profit forecast and risk calculation services as well as a range of other consultation services.

Our risk management system enables real-time monitoring of the client’s trading. Our systems deliver a comprehensive range of information that can be integrated with the client’s in-house systems via the API.

Our clients may choose to outsource part of their decision making related to portfolio management to Power-Deriva. We already have a proven track record of providing this service for more than a decade.

Consulting

We provide consultation in matters related to risk management, such as the planning and preparation of a risk manual.

Risk management is supported by our long experience in market analysis, including models for electricity price fundamentals both for the short and the long term. We also provide separate consultation on, for example, the price of electricity and emission allowances, and the related risks and uncertainties.

We also help our clients in regulation matters related to the energy sector and issues pertaining to the handling of derivatives.

 

Trading

Power-Deriva enables its clients to carry out derivatives trading related to risk management effectively, transparently and with a high standard of quality.

The trading in electricity derivatives carried out by Power-Deriva mostly concerns standard derivatives listed on the Nasdaq OMX Commodities exchange. In IntercontinentalExchange (ICE) we also engage in trading in emission allowances and carbon derivatives, among others. Our trading is not limited to electronic trading systems as we always look for the best available price for our clients elsewhere as well. Thanks to our extensive counterparty network we can also trade on our clients’ behalf in products tailored to their specific needs.

Our backoffice service liaises with clearing houses on the client’s behalf and helps in daily routines related to the handling of derivatives. We also take care of the statutory reporting of derivative transactions in compliance with the EMIR and REMIT regulations.

 

Products

We provide trading services in the following products:

• Electricity derivatives
• Emission allowances trading (EUA, CER, ERU)
• Carbon derivatives
• Oil derivatives
• Currency derivatives
• Guarantees of origin (GO) and LECS certificates for electricity