Energy Trading and Risk Management
Proactively capture, analyze and simulate market and credit risks
SAS provides energy trading and risk management (ETRM) solutions that let you proactively capture, analyze and simulate market information so you can minimize the impacts of severe price volatility, regulatory compliance and confusion caused by disparate systems. To learn more about how our ETRM solution can help your business, visit RiskAdvisory.
" Creating a holistic ETRM approach for understanding marketplace risks and the credit stature of counterparties affects how oil and gas companies operate up and down the value chain. The task is to consolidate risk measures into one consistent analytical picture that can inform business decisions."
— Louis Caron, RiskAdvisory
Risk Aggregation: Enhancing Energy Risk Management with Data Integration and Advanced Analytics
How SAS® Can Help
To operate successfully, upstream and downstream oil and gas companies need a solution that combines advanced analytics and superior data management, along with deal-capture capabilities for the full range of energy commodities and transaction types. With SAS, you can:
- Centralize your risk modeling and reporting functions by consolidating exposures across business units and trading books – from a variety of disparate transaction and market data sources – into a common risk data store.
- More easily comply with external regulations through internal ETRM policies that let you register critical proprietary algorithms previously stored in spreadsheets within a secure and auditable database that gives you the flexibility inherent in spreadsheets without the business control issues.
- Reduce your reliance on spreadsheets and increase risk modeling and reporting activities by using powerful analytical and data management capabilities to conduct your operations holistically around commodity risk management.
- Track current and potential risk exposures using advanced analytics to quantify and run exposure analysis metrics, including value at risk (VaR), earnings at risk (EaR), cash flow at risk (CFaR), gross margin at risk (GMaR) and potential future exposure (PFE) on your portfolios.
Address Dodd-Frank compliance issues by aligning your systems for the new data management, reporting and other regulatory risks facing commodity market participants. To learn how our Dodd-Frank experts can help, visit RiskAdvisory.
How SAS® Is Different
SAS ETRM solutions streamline the process of deal capture, enabling quick and accurate assessment of market and credit risk. The same data is simultaneously available for scenario modeling and advanced analytics. With SAS, you get:
A complete risk management solution that:
- Manages multiple commodity portfolios of any size or complexity.
- Enables deal capture (any energy commodity, any transaction or trading in any region) and physical and financial position reporting.
- Provides market risk and credit risk analytics – including an array of reporting options – that help risk managers monitor overall exposure.
- Includes specialized features for crude oil, gas and electricity markets.
- Superior data management capabilities, including a data model that is capable of storing all commodity trades and physical positions.
Domain expertise and in-depth industry knowledge derived from SAS and RiskAdvisory's long history in the ETRM market.
Related Products and Solutions
RiskAdvisory, a division of SAS
RiskAdvisory, a division of SAS, provides commodity trading and risk management (CTRM) solutions and business intelligence tools that enable organizations to proactively capture, analyze and simulate market and credit risks in volatile energy and commodity markets. Our innovative energy commodity risk aggregation and analysis (ECRAA) approach blends world-class risk analytics, modeling and reporting capabilities in an integrated framework, offering a holistic portfolio-wide view that enhances risk management and strategic decision-making.
SAS BookRunner provides organizations with the ability to proactively capture, analyze and simulate market and credit risks associated with energy commodity price volatility. Through an integrated energy trading and risk management (ETRM) framework, SAS BookRunner delivers a portfolio-level view to measure, manage and control energy risk. This front-to-back-office solution includes deal capture, data integration, advanced predictive analytics, compliance reporting and a full suite of sophisticated risk modeling tools.
SAS® for Enterprise Risk Management
Risk management can help your organization get where you want it to go while avoiding hazards and shocks along the way. It entails more than balancing risk and reward, and it goes beyond regulatory compliance. It's about embedding risk management into everyday processes at all levels of the enterprise to truly drive business evolution.
Ready to learn more?
Call us at 1-800-727-0025 (US and Canada) or request more information.