weather hedging

Weather hedging seems to have worked as intended for Star Group (formerly Star Gas Partners) in the first-quarter of 2020, as higher temperatures in the United States triggered a payout under the energy providers weather derivatives arrangements.

Indices designed to facilitate the trading of weather risks related to wind power have now been added to weatherXchange, the parametric weather risk transfer platform operated by specialist Speedwell Weather.

weatherXchange, the parametric weather risk transfer platform operated by specialist Speedwell Weather, has added another new capacity provider for the weather hedging products available through it, in parametric managing general agent (MGA) Skyline Partners.

Citadel Energy Investments Ltd., part of the giant Citadel investment organisation, is set to provide weather risk transfer capacity through the Speedwell Weather operated parametric weather risk transfer platform weatherXchange.

Nephila Climate, the weather and climate risk transfer focused unit of the largest asset manager in insurance and reinsurance linked investments, Nephila Capital, has signed up to provide indicative pricing through the Speedwell Weather run parametric weather risk transfer platform weatherXchange.

Stephen Doherty, the Chairman of Speedwell Weather, a service provider to the weather risk management market, expects the wind hedging market to gain further momentum after steady growth in recent years, and, in a recent interview, told Artemis about the benefits of its sophisticated Windfarm Benchmarks.

Speedwell Weather, a leading service provider to the weather risk management market, has added support for zero premium swaps within its parametric and index-based weather risk transfer platform weatherXchange, with pricing now available for these instruments.

A number of weather risk transfer transactions have been originated and executed thanks to Speedwell Weather’s parametric weather risk transfer platform weatherXchange, while requests for pricing of contracts are rising, according to the company.

Speedwell Weather owned parametric weather risk transfer platform weatherXchange has launched instant indicative pricing for index-based weather insurance and derivative contracts sold on its technology platform, aiming to streamline pricing and quoting of weather hedging.

Automating the pricing process for parametric weather risk transfer or weather hedging contracts is an ambitious goal, but Speedwell Weather feels it has achieved that with the latest release of its now 15-year-old weather derivative pricing and risk management software, which it has connected to its weatherXchange platform.