Oil hedging strategies

Crude Oil hedging - or Oil risk management - is what we do - it is part of our DNA.

Oil hedging definition - what is oil hedging?

Oil hedging is used to reduce or eliminate a company's exposure to fluctuating oil prices. It is a contractual tool allowing a company to fix or cap an oil price at a certain level or period of time.

Oil hedging - why use it?

If your company is exposed to oil price fluctuations, oil hedging is a tool that can help eliminate the risk of your fuel budget getting out of control. Here is a few examples of why to hedge:

  • Oil prices fluctuate - the oil market is extremely volatile
  • Oil expenses represent a large fraction of the operational costs
  • Insurance against price increases
  • Pro-active strategy for budget protection

How to get started - Oil hedging strategies?

You and Global work out a hedging strategy and evaluate wihch hedging tools could be of advantage to you - we customise the tools to fit your specific needs.

Step 1: Identifying goals

Our simple, yet flexible 3-step process kick starts your fuel risk strategy and keeps it fine-tuned to the market.

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