How derivatives markets are supporting the move to a low carbon world
A shift from high carbon energy to clean energy is moving higher on the agenda for corporations and regulators around the world thanks to economics, risks and increasing political and social pressure. How the world can produce abundant energy supplies while dramatically reducing emissions has become one of the defining issues of our time -- and derivatives markets play a key role in that transition.
This may be an obvious "duh" moment for readers, but the derivatives markets are, well, derivative. These markets were created to serve Main Street businesses, energy companies, pension funds, agricultural producers and lenders who need to manage risk and discover prices. And it's when our industry thinks of itself as an "industry" first and loses sight of our customers that we get into trouble.