Posts Tagged "settlement"

Taking Care of Risky Business: Credit Risk Management in Spot Markets

The collapse of Enron and recent energy industry credit crunch has again brought the issue of energy market credit risk management to the fore. An oft neglected area in these discussions is the management of spot market credit risk. Unlike forward markets, where fairly sophisticated risk management processes are available, the management of credit risk in many spot markets remains rudimentary. Changes to a few key processes, however, could significantly improve the way this risk is managed. read more →