In Commodity Derivatives: Markets and Applications, NeilSchofield provides a complete and accessible reference for anyoneworking in, or studying commodity markets and their associatedderivatives. Dealing primarily with over the counter structures,the book provides extensive coverage of both hard and softcommodities, including gold, crude oil, electricity, plastics,emissions and agriculturals.
Using structures unique to the individual market, each chapterincludes an explanation of the commodity and an analysis of itsphysical market, discussion on the typical patterns of demand andsupply and the main factors that will influence the price of thecommodity, and the main products.
Each chapter focuses on how the products could be used along thephysical supply chain and seeks to identify the main market risksand how they can be hedged. The book then brings into perspectivehow the structuring banks hedge their own resultant exposure andexamines the attraction of OTC investment structures for thewholesale market.
Commodity Derivatives: Markets and Applications isessential reading for those wishing to learn about the mainfeatures of the commodity markets, the mechanics of derivatives,and how they are applied.
Neil C. Schofield
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