QUARTERLY OIL MARKET OUTLOOK
Get our take on recent events in the oil market and our opinions on the direction the market is likely to take...
Read moreKeeping fuel costs within a predictable range protects you from unexpected changes in the price of fuel. Changes that could otherwise seriously impact your budget and profit margin.
A Swap is a paper hedge agreement that allows you to fix your fuel prices at a predefined level, independent of future market movements.
Three good reasons to use this strategy:
Benefits | Disadvantages |
Protection from price volatility | Opportunity loss if market prices rise |
Flexibility in physical supply | Potential basis risk |
No upfront premium |
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