Commodity Derivatives: Markets and Applications

by Neil C. Schofield

In Commodity Markets and Applications, Neil Schofield provides a complete and accessible reference for anyone working in, or studying commodity markets and their associated derivatives. Dealing primarily with over the counter structures, the book provides extensive coverage of both hard and soft commodities, including gold, crude oil, electricity, plastics, emissions and agriculturals. Using structures unique to the individual market, each chapter includes an explanation of the commodity and an analysis of its physical market, discussion on the typical patterns of demand and supply and the main factors that will influence the price of the commodity, and the main products. Each chapter focuses on how the products could be used along the physical supply chain and seeks to identify the main market risks and how they can be hedged. The book then brings into perspective how the structuring banks hedge their own resultant exposure and examines the attraction of OTC investment structures for the wholesale market. Commodity Markets and Applications is essential reading for those wishing to learn about the main features of the commodity markets, the mechanics of derivatives, and how they are applied.

Genres: Finance

315 pages, Hardcover

First published December 17, 2007

Reviews

[A · Rating 3 out of 5]

If you understand derivatives generally this is a good intro book on commodities.
Not much math (what there is could be presented in a "cleaner" way - but personal preference))
Good general background into a lot of underlyings, but only likely as an intro to each specific type of commodity given the nuances in each type.