Many executives often find it challenging to assess how hedge practices may impact key financial goals — margins, customer pricing or investor return. By deploying market-based simulations over a range of hedge strategies and potential market outcomes, energy-intensive industries can examine portfolio tradeoffs and tailor its overall risk exposure to meet its financial goals.
Deloitte introduces a new perspective for energy-intensive industries to provide a structured framework to mitigate commodity risk exposure and meet corporate objectives. Deloitte’s Managed Risk solution provides E&R companies with a structured approach to addressing two fundamental issues associated with hedge programs and their interdependence: understanding the risk to financial goals that volatile commodities cause, and adopting a lucid hedge structure to protect the goals. Deloitte’s Managed Risk solution also incorporates the industry’s regulatory and compliance requirements, and the complexities and nuances of financial reporting for the energy industry.
Paul Campbell, Principal, Deloitte & Touche LLP
Steve Engler, Director, Deloitte & Touche LLP
Tim Metts, Senior Manager, Deloitte & Touche LLP
Jack Nirenberg, Senior Manager, Deloitte Services LP
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