Energy Trading and Risk Management

Size: px

Start display at page:

Download "Energy Trading and Risk Management"

Austen Dalton
9 years ago
Views:

1 Energy Trading and Risk Management Energy Trading and Risk Management Solutions

2 LEVERAGING PROVEN ENERGY SOLUTIONS IN EUROPE

3 Based on its leadership in the Nordic market, Brady is today delivering off-the-shelf energy trading and risk management (ETRM) solutions to companies in Europe seeking a low-cost approach that provides a competitive edge. How competitive are you in a liberalised energy market? Energy trading and risk management has evolved in Europe rapidly in recent years. An increasingly liberalised European energy industry has opened the door to a growing number of companies to trade power, coal, oil, gas, emissions, green certificates and other energy-related commodities across borders and in multiple currencies. However, as competition increases and trading becomes more complex, the challenges for successfully managing risk and achieving higher profitability intensify. This is where Brady can help. At the same time, two crucial pieces of EU legislation the European Market Infrastructure Regulation (EMIR) and the Regulation on Wholesale Energy Market Integrity (REMIT) require market participants to have data capture and trade reporting systems in place, that comply with strict new regulations. Those who do not follow these regulations run the risk of incurring serious penalties. To meet these challenges, companies must secure effective and advanced energy trading and risk management strategies that are cost-effective and have a competitive edge. A powerful, cost-efficient tool The Brady ETRM solution is an intuitive, low-cost, off-the-shelf solution ideal for traders, risk managers and portfolio managers. A leading company in the Nordic deregulation evolution, Brady is today the leading provider of ETRM solutions. One of Brady s unique strengths is its use of sophisticated risk assessment models based on an in-depth, business-oriented approach to its customers challenges. Brady was one of the first providers to implement value-at-risk (VaR) calculations based on a three factor Monte Carlo simulation. Our solution includes a consistent VaR model covering all energy commodities in one single analysis. In addition, it features processes that automate manual work, e.g the reconciliation tool reduces operational risk and human error. The result of these and other innovations is a powerful ETRM solution that has built a track record for effectiveness, fast implementation and low cost of ownership in the Nordic region and across the European continent.

4 Key advantages of Brady ETRM Importing physical positions Brady ETRM is a standard, off-the-shelf product that contributes value to your business by being more efficient than competitors solutions. The processes and interfaces for deal clearing and reconciliation with exchanges are already in place, making installation easy, fast and cost effective. Third-party integration Critical to your success today and in the future, is your ability to integrate the products of third-party vendors. Brady ETRM enables third-party vendors to integrate their products, such as ERPs, accounting, financial systems, invoicing and trading platforms into the solution. Moreover, it also integrates easily with Brady s other solutions, such as credit risk, logistics and energy data management. Lower cost of ownership An increasing number of processes within the Brady ETRM solution are gradually being automated. For example, the solution has introduced a reconciliation tool that enables customers to automatically compare the account statement from the clearing house with their own, immediately identifying deviations. Using a growing number of data sources, these automation tools pioneered by Brady are is helping customers reduce their costs and risk. Compliance with rules and regulations Brady ETRM solution includes features that ensure compliance with the new EMIR and REMIT regulations that help reduce error and streamline the reporting, clearing and reconciliation processes. Business versus IT knowledge Most vendors approach to the challenges of ETRM is through the limited prism of IT, often lacking an in-depth understanding of the critical business issues affecting trading and risk management. Brady is well versed in the underlying financial and business principles that influence energy trading and risk, and has used its in-depth business knowledge to drive its ETRM solution. Advanced retail sales Brady Energy Sales Manager, is a web-based add on that enables the sales team to work with the end client on interactive deal configuration, real-time volume profile pricing, market price sensitivity visualisation, simplified deal and offer management.

5 Solutions & Services With expertise built upon an open platform of solutions and services, our offering can improve your business processes and help you achieve a higher level of business efficiency. TRADING & RISK MANAGEMENT DATA MANAGEMENT LOGISTICS SETTLEMENT BUSINESS CONSULTANCY IMPLEMENTATION DEVELOPMENT MAINTENANCE TUNING & HEALTH CHECK Brady ETRM is an advanced yet low-cost, off-the-shelf solution that can help you get up and running in a matter of weeks. This is a standard solution that can easily be integrated within your existing system architecture as well as delivered through Brady s Cloud-based services.

6 Why Choose Brady ETRM? Brady s approach to your challenges is through insightdriven analysis and dialogue. With a broad and in-depth view of the energy industry, changing trends and your role in it, we can help you seize the new opportunities emerging in changing markets and gain a competitive edge over your competitors. In-depth and up-to-date knowledge of European financial and physical markets and impact of renewables. A background with a unique foundation in the financial and physical levels of the energy business, with an understanding of their complexities and ability to bridge the knowledge gap between them. A deep Nordic heritage, giving us a unique and indepth understanding of the evolution of deregulation as well as in the emergence of smart grids and data hubs. An established enterprise with a successful 25-year track record and 130 customers. Pioneering knowledge and leadership in energy trading and risk management and three other core areas of expertise. An organisation-wide aspiration to shape the future. Participation in international standards bodies that are helping to shape the regulatory environment of the energy markets.

7 About Brady plc Brady plc is the largest European-headquartered provider of trading and risk management software to the global commodity, recycling and energy markets. Brady combines fully integrated and complete solutions supporting the entire commodity trading operation, from capture of financial and physical trading, through risk management, handling of physical operations, back office financials and treasury settlement, for energy, refined and unrefined metals, scrap and secondary metals, soft commodities and agricultural products. Brady has 30 years expertise in the commodity markets with more than 13,000 users at over 400 companies worldwide, who depend on Brady s software solutions to deliver vital business transactions across their global operations. Brady clients include many of the world s largest financial institutions, trading companies, miners, refiners, scrap processors, recyclers and producers, tier one banks and a large number of London Metal Exchange (LME) Category 1 and 2 clearing members and many leading European energy generators, traders and consumers.

8 Brady Americas Tel: [email protected] Brady APAC Tel: [email protected] Brady EMEA Tel: + 44 (0) [email protected] Brady Head Office Riverside House 2a Southwark Bridge Road London SE1 9HA Tel: + 44 (0) [email protected] Energy Trading and Risk Management Solutions

Energy Data Management

Energy Data Management Energy Trading and Risk Management Solutions EXPERTISE IN ENERGY DATA MANAGEMENT From deal capture to nominations and settlements, all of Brady Energy s data management processes