Variance is an independent provider of commodity price risk hedging advisory services. After assessing the client’s risks, objectives and constraints, we help identify the various tools that address the risks: forward contracts, futures, vanilla options, or other structured solutions.

Clients partner with us to address a commodity and energy price risks. Examples include the following:

• Steel manufacturer hedging nickel purchase prices
• Company from the textile industry hedging cotton prices
• Airliner hedging kerosene purchase prices
• A power generation company hedging power-to-natural gas spark spread

Once a particular hedging strategy has been selected, Variance will work to put the documentation in place and efficiently execute each transaction, whether through competitive auction or negotiation with a single financial counterpart.

Variance accompanies the client along all the steps involved in the process. Variance produces all reporting for a proper follow-up and assists the client in dealing with all accounting issues that arise from the transactions.