Weather derivatives

Climate & Sustainability — Markets & Trading

About the online training programme

This course explains what weather derivatives are. It provides an overview of the fundamentals of these instruments and how they can be applied by companies to manage their weather exposures. Furthermore, quite some essentials are set out that make one understand how to control temperature, wind or precipitation risk. In addition, the settlement of these tools is given attention to and the reference indices that are used for this purpose.

Course Contents

This course covers the following video lessons:

  1. Hedging tools
  2. History
  3. Insurance versus hedging
  4. Cash settlement
  5. Market participants
  6. Temperature derivatives
  7. Temperature derivatives – HDD
  8. Temperature derivatives – CDD
  9. Temperature derivatives – CAT
  10. Temperature derivatives – Strip
  11. Temperature derivatives – Application
  12. Temperature derivatives – Frost contracts
  13. Precipitation derivatives – Snow contracts
  14. Precipitation derivatives – Rain contracts
  15. Wind derivatives
  16. Wind derivatives – Futures
  17. Wind derivatives – Options
  18. Wind derivatives – Swaps
  19. Wind derivatives – Hurricane instruments
  20. Wind derivatives – Hurricane instr. – CHI
  21. Wind derivatives – Hurricane instr. – Landfall
  22. Weather markets – Market liquidity
  23. Basis risk
  24. Example: Applying HDD derivatives

This course also includes examination and certification.

Learning Platform

€ 1,490

Access to all 100+ courses & exams
Validity 12 months

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About our Learning Platform

With no time-to-market, any learner can buy a licence for 365 days access. Alike Netflix, we provide 24/7 access to all listed courses and exams. Self-study in own time and at own pace, with instant certification upon passing an exam. Access-to-all is provided upon the purchase of a learning licence, one for each learner. Discount for group. Observe our ultra-quick customer on-boarding.

Our Purpose

Entrima provides learning services for professionals in the commodity & energy markets.

Content & Context

Entrima’s mission is to transfer knowledge regarding the business, controls & operations of parties in (or relating to) the wholesale markets.

Conduct & Culture

Entrima mission is to facilitate the prevention & detection of misconduct and to foster proper behaviour in organisations. This is achieved via training, periodic updates and increased awareness.