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Financial derivatives in power marketing: The basics

Conference ·
OSTI ID:389867
;  [1]
  1. Illinois Inst. of Tech., Chicago, IL (United States). Dept. of Electrical and Computer Engineering

With the ongoing changes in the power industry worldwide, electricity is beginning to be traded like other commodities. The use of financial derivative instruments in power markets is on the rise. The purpose of this paper is to explain the role of these derivatives in risk management which is vital for survival in the increasingly competitive industry. Starting with the familiar cash markets, the paper discusses the basics of futures, options, and swap markets as applied to electric energy trading.

OSTI ID:
389867
Report Number(s):
CONF-960426--
Country of Publication:
United States
Language:
English

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