Use swaps, pre-buys and physicals to manage risk
November 25, 2024 By Mark Rachal
Cost Management Solutions discusses three tools that propane retailers can use to manage supply side risk.
Read MoreCost Management Solutions discusses three tools that propane retailers can use to manage supply side risk.
Read MoreIn this Trader’s Corner, we will try and capture some things we know as propane buyers, some things we may not know now but could, thus reducing the number of unknowns to one.
Read MorePropane prices have been declining since the middle of February. The market feels bearish – and with good reason.
Read MoreCost Management Solutions’ Mark Rachal, director of research and publications, discusses propane’s relative value to crude and inventory options this winter.
Read MoreNicolas Pintabona joined Angus Energy as an account executive, focused on hedging opportunities for the company’s client list and expanding in the Northeast.
Read MorePrice risk management firm Synergy Commodity hired Arthur Ravo as a senior adviser. He has more than 32 years of experience in propane supply and hedging.
Read MoreFor future reference, use this list of key points about financial swaps and how they can be used with pre-buys and spot buying to manage price risks.
Read MoreSpeculation requires vigilance in monitoring the position. If it isn’t performing as expected, then the prudent step might be to close the position.
Read MoreHedging is the easiest way to use financial swaps, but we can also use swaps to capture an opportunity that may be present in the market, says Mark Rachal of Cost Management Solutions.
Read MoreFinancial swaps are risk management tools. When used properly, they are true hedges that provide predictable results for supply purchases.
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