A New “Definitive” model for Risk Risk Edge has recently released its latest Whitepaper on Back-testing Expected Shortfall. The paper presents a New “Definitive” Model for Risk Management and answers several long-standing questions about managing Risks: Why use VaR when it doesn’t give clarity of extreme losses? Can we use Expected Shortfall (ES) to give […]
Chapter 8 – Get Deeper Insights Here is Chapter 8 from our very well-received, 32-page E-Book –Benefiting from VaR – Quick Guidelines for Commodity Risk Practitioners. A quick recap for those who’ve read and enjoyed it, and for those who haven’t yet read it, you can download it now from here ! The E-Book is written for Commodity […]
Wish you a Happy & Risk-enabled 2014 ! 2013 was a year of significant turbulence and uncertainty. While Stricter Regulations pushed some investment banks to close down their commodity trading divisions (see JP Morgan, Deutsche Bank), excessive Volatility and poor returns saw some commodity hedge funds closing down. The 16 day US shut-down added significant […]
Commodity Risk Management beyond VaR First, the bad news – Value at Risk (VaR) of a position / portfolio just gives the maximum loss you can have, with a certain confidence. But it doesn’t tell you what your position / portfolio could lose beyond that confidence. If you are the one managing risks in your […]
Why everybody in your organization is a Risk Manager? Several commodity trading / processing organizations think that their Chief Risk Officer (CRO) or Chief Financial Officer (CFO) or CEO has the sole responsibility of managing and reducing risk for the entire organization. In fact, surveys have shown that many Asia-Pacific based organizations think of CEO […]