Financial Risk Management for a Chemical Company
We helped a leading chemical company move forward with a major growth plan by mitigating the risks of its investments in current energy markets, including the risks posed by national climate policies. We employed statistical modeling to simulate future market conditions in the context of potential policy changes and considered financial hedges the company could employ to balance risks. Our analysis also took into account the use of complex financial instruments and the realities of available financial products in energy markets. Using our evidence-based strategy, our client was able to develop a risk management approach comprising a combination of contractual and market mechanisms that allowed it to move forward with its planned investment.