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  • info@maddox.ae

Risk-Management Service

Risk-Management Service

Besides internally managing the oil price and currency risk associated with own transactions, Maddox is offering its expertise to its clients for managing

• Oil price risk
• Currency risk

Our Risk Team, with its vast experience in managing different portfolios of oil and energy companies, will carefully listen to the needs of our clients and offer a tailor-made service to help our clients to secure their bottom-line profitability. The portfolio of tools that can be offered include futures, swaps, differentials, DFL’s, CFD’s and Options. Our sophisticated use of advanced derivative tools brings flexibility and various opportunities to our partners. Whenever requested by our partners or required by the structure of the deal, we are able:

1. To convert agreed price from a Formula to Fixed price or vice versa.
2. To convert pricing periods from a month average to any variation of days such as BL or NOR related and vice versa.
3. To provide the trigger optionality in which a partner can partially trigger the price of the commodity based on the market level.
4. To perform commodity trading in any currency including but not limited to USD, EUR, TRY, PLN, RUB, UAH and so on. We can fix exchange rates for the whole cargo at once, or partially as per each trigger.
5. To hedge time spreads of a single product, or price differences across multiple products as well as refinery margins and cracks.

Feel free to contact our Risk Team to discuss your requirements.