Commodity Derivatives

Documenting and Understanding Commodity Derivative Products
1. Auflage 2010
ISBN: 978-1-905783-37-3
Verlag: Globe Law and Business - IPSUK

Buch, Englisch, 584 Seiten, Format (B × H): 153 mm x 229 mm, Gewicht: 1120 g

Reihe: Globe Law and Business

Commodity derivatives are financial instruments whose value is based on underlying commodities, such as oil, gas, metals, agricultural products and minerals. Other assets such as emissions trading credits, freight rates and even the weather can also underlie commodity derivatives.

Although the market has been around for centuries, commodity derivatives remain a vital and increasingly sophisticated product today. Airlines continue to hedge themselves against volatility in fuel prices, mining corporations against declines in metal values and power companies against rises in the price of natural gas.

This accessible title explains each type of transaction, together with the documentation involved. In particular, the book analyses and guides the reader through the full suite of over-the-counter, exchange-traded and structured commodity derivative documentation, and provides a detailed guide to International Swaps and Derivatives Association and other leading documentation platforms.The book further contains detailed analysis of the regulatory and tax issues affecting commodity derivative products in the United Kingdom and United States.

This title is edited by Edmund Parker, head of derivatives at Mayer Brown, London (author of Credit Derivatives: Documenting and Understanding Credit Derivative Products and editor of Equity Derivatives: Documenting and Understanding Equity Derivative Products), and Marcin Perzanowski, an associate at Mayer Brown, London.

Autoren/Hrsg.

Parker, Edmund

Perzanowski, Marcin

Fachgebiete

• Wirtschaftswissenschaften Finanzsektor & Finanzdienstleistungen Unternehmensfinanzierung
• Rechtswissenschaften Internationales Recht und Europarecht Europarecht Europäisches Handels-, Wirtschafts- und Gesellschaftsrecht, Währungsrecht
• Rechtswissenschaften Internationales Recht und Europarecht Internationales Recht Internationales Handels-, Wirtschafts- und Gesellschaftsrecht
• Rechtswissenschaften Ausländisches Recht Common Law (UK, USA, Australien u.a.)
• Wirtschaftswissenschaften Betriebswirtschaft Unternehmensfinanzen Finanzierung, Investition, Leasing
• Wirtschaftswissenschaften Finanzsektor & Finanzdienstleistungen Anlagen & Wertpapiere

Inhaltsverzeichnis

Preface 5
Edmund Parker

Part I: Introduction to commodity derivative products
Overview and introduction to commodity derivatives 7
Edmund Parker
Reasons for entering into commodity derivative transactions 37
Sabine Bertin
Aaron McGarry

Part II: Commodity derivative instruments
Over-the-counter (OTC) commodity derivatives 63
Marcin Perzanowski
Structured commodity derivatives 83
Sabine Bertin
Dharini Collins
Exchange-traded commodity derivatives 121
Dharini Collins
Nanak Keswani

Part III: ISDA commodity derivative documentation
ISDA suite of commodity derivative documentation 149
Edmund Parker
Marcin Perzanowski
Introduction to the 2005 ISDA Commodity Definitions 175
Edmund Parker
Marcin Perzanowski
Standard commodity derivative confirmations 223
Marcin Perzanowski
Bullion transactions 239
Marcin Perzanowski
Weather index derivative transactions 263
Erica Johansson
David Johnson
Gas derivative transactions 283
Edmund Parker
Power derivative transactions 317
Edmund Parker
Emissions trading 335
Avanthi Gunatilake
Edmund Parker
Freight derivative transactions 367
Avanthi Gunatilake
Edmund Parker

Part IV: Other documentation platforms for commodity derivatives
Overview of documentation produced by the Futures and Options Association 391
Danuta Rychlicka
The European Federation of Energy Traders 433
Ellen Doubtfire
Aimee Lewis
Overview of other documentation platforms for OTC commodity derivatives 459
Amandeep Kharaud

Part V: Tax and regulatory aspects of commodity derivative transactions
Tax aspects of commodity derivative transactions 485
Sandy Bhogal
Catriona Nicol
UK and EU regulatory aspects of commodity derivatives 501
Miles Bake
US regulation of commodity derivatives 529
Jeremiah Wagner

About the authors 581

All authors are (or recently have been)
lawyers working at Mayer Brown

Über Autor(innen)

Edmund Parker is a partner at Mayer, Brown, specialising in derivatives and structured finance in the firm's London office finance department. He is one of the world's leading credit derivatives experts and advises many of the most active investment banking institutions and other market participants on diverse funded and unfunded credit derivatives matters. He has been instructed on many of the 'new generation' credit derivatives products, such as constant proportion portfolio insurance, constant proportion debt obligations and credit derivative product companies. He has also advised leading financial institutions on managing all of the largest credit events to hit the market in recent years, as well as on the full range of ISDA template documentation and more traditional synthetic collateralised debt obligation and credit linked note structures. He previously practised at Clifford Chance, Sidley Austin, and Gide Loyrette Nouel.