Energy Derivatives Operations & Controls

The vital role of the back-office in the energy trading market has become more prominent with the increase in volumes, market participants and complexities in the industry over recent years. As economic markets become more unstable, it is crucial that companies involved with energy trading seek ways to improve their operational processes to better handle its challenges and complexities.
This course is a learning opportunity that should not be missed by market participants. Delegates will explore methods to improve confirmation, settlement, reconciliation and automation of administration of energy market trading activities.
Legal, accounting and tax issues will also be discussed along with operational risk management. Our expert trainer will provide unique perspectives on the latest developments in the energy trading industry and bring practical experiences to reduce operational risk through a more efficient back-office.

Course Information

Price £1400.0 + VAT
Duration 2 days
Location London
Available Dates

Who Should Attend

Individuals, executives and managers from business and government organisations with functional responsibility in all areas and levels of the energy infrastructure will find this course beneficial, including:

  • Trading
  • Risk management
  • Operations
  • Supply and Distribution
  • Purchasing
  • Compliance and Internal Audit
  • Credit
  • Contracts
  • Financial and Accounting

Booking Information

Tel: +44 (0) 20 7065 7706

Course Content


Session One

  • Key types of risk faced by management and the trading room
  • The Risk Matrix
  • Details of recent spectacular failures
  • What happened and why

Session Two:

  • Operational framework in a trading organisation
  • Front Office

- Scope of the front office

  • Middle Office

- Functions within a trading organisation

- Key responsibilities

- Sources of operational risk

  • Back Office

- Role within a trading organisation

- Fundamental tasks

- Operational risk

Session Three:

  • Overall controls framework - Trading controls "Best Practiceguidelines
  • Trading management
  • Risk Management / Mid Office
  • Back Office

Session Four:

  • Trading room controls & infrastructure requirements
  • "Trading data and system platforms
  • "Integration issues for energy trading operations

Session Five:

  • Key data management
  • Front office

- Physical trades

- Financial trades

- Options trades

- OTC/Exchange trades

  • Brokers confirmations and automation
  • Reconciliation automation
  • Settlement systems and developments
  • Invoicing developments
  • Developments and applications for OTC and Margined clearing systems

Session Six:

  • Review of automated tools
  • "Review of automated solutions around the world for energy
  • Operations in the Asian energy markets
  • Review of automated trade data reconciliation tools


Session Seven:

  • Risk management infrastructure
  • Application Service Providers (ASP) versus in-house
  • Forward curve data and integration issues
  • Best practice requirements for risk management and back office pricing

Session Eight:

  • Practical exercise
  • VaR Risk System - Best practice design in trade capture and risk management

Session Nine:

  • Effective collateral management across the energy trading industry
  • Derivatives Documentation developments
  • Understanding the terminology
  • Purpose of documentation
  • OTC documentation
  • Key Master agreement utilised
  • Hints and tips

Session Ten:

  • Credit Default Swaps CDS for Energy markets