The special physical characteristics of commodities such as electricity, natural gas and oil mean that standard pricing models applied in financial markets for risk management and valuation purposes cannot simply be transferred and used as energy pricing models.
An Introduction to Models for the Energy Markets provides a clear exposition of the thinking behind the range of models used today in energy finance.
This new introductory text, clearly explains what a hedge fund is, how it interacts with service providers, how it operates and - particularly appropriate to today’s markets - what happens when things go wrong.
This comprehensive introductory guide is essential reading for anyone new to the field of operational risk. It is also highly recommended for those who have a keen interest in this topic but with limited background knowledge.