Mark forward prices.
- Mark illiquid assets and obligations regularly.
- Mark using trades when available, then use Power Nominals for interim changes.
- Use as a second or third external and independent source.
- Do you need a check on your internal determinations?
Mark forward volatility precisely.
- Few markets have sufficient options liquidity .
- Incorporate into risk management systems.
Mark delivery period volatility.
- How do you estimate delivered month risk while forward?
- Do you have an external and independent source for verification?
- Incorporate into risk management systems.
Hedging tool.
- Can you use natgas as an interim hedge for power?
- What hedging ratio would you use? The power/natgas delta can provide guidance.
Guidance for trading and origination.
- Where do you start for a deal in an illiquid area?
- Wouldn't it be nice to be first to respond to an RFP?
- How reasonable is that RFP response?
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How would front office power trading and origination functions benefit from RisQuant Power Nominals?
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How can RisQuant Power Nominals assist middle office and back office functions?
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How can Power Nominals be applied to portfolio marking issues?
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How can Power Nominals help with capital planning?
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