Archive for the ‘CommodityAlert’ Category

A Rational Look at the Plans for Moving Forward in the Gulf by Patrick Reames

Though non-binding, a report released late last week by the Bipartisan Policy Center should provide momentum toward the lifting the deepwater drilling moratorium currently in place in the wake the of the Deepwater Horizon disaster.

The BPC, a Washington based non-profit think tank, was founded by four former Senators, two each representing Democrats and Republicans, and has been dedicated to, “develop and promote solutions that can attract public support and political momentum in order to achieve real progress.” The BPC was asked by the federal government’s National Commission on the BP Deepwater Horizon Oil Spill and Offshore Drilling to review the effect of the moratorium and the response by both industry and the government.

And Now for Something Totally Different . . .

Being a CommodityPoint analyst has its moments. It would seem that few of my friends and relatives can actually grasp what it is I do for a living and so they politely ask me how is business and nod wisely as I reply. Quite honestly, it is difficult to explain to almost anybody what I do for a living but I can tell you this. I love it!

First, Commodity Trading and Risk Management (CTRM) is quite a small area to specialize in, so you end up tending to know almost everyone involved. It’s a community and as a friend of mine told me at a trade show recently, you don’t check name badges for names, but just to make sure who they are working for this month! But what do I actually do? Essentially, I try my very best to keep up with what is going on in the industry& particularly as it relates to CTRM and associated software and technologies. This doesn’t make me a technology geek, however, as I also have to understand the business context in which this all occurs.

CTRM Systems are Just the Tip of the Iceberg by Patrick Reames

Every company that trades commodities is using some type of system capture their trades, manage their positions, and account for the value of the trades. That’s not to say that all the systems being used are created equal —they are most certainly not, after all a paper ledger book can be considered a system. Fortunately, ledger books have gone the way of buggy whips, and now when the term “system” is used, it implies that some form of computer software. “Software”, though, is a pretty broad term and can, and does, mean everything from Excel spreadsheets to a highly sophisticated commercially produced software packages that can cost up to tens of millions of dollars.

Regardless of its form, every CTRM system is intended to provide the following core capabilities for any trading organization:

The Rise and Rise of Software as a Service in CTRM Software

CommodityPoint will shortly issue a new free report on Non-Traditional Delivery Methods for CTRM Software and this article provides a snapshot of some of the findings of the study. The study was kindly sponsored by Aspect Enterprise, Allegro Development, IHS, OATI, Navita and SolArc. The full and complete report will be available for download on the UtiliPoint International website and CTRM Blog by the end of July.

Software as a Service, hosting and leasing are all alternative methods for delivery of CTRM software and they seem to be growing in popularity in many segments of the industry. Indeed, our study indicates that these delivery methods are already more widespread than at first we thought and are set to grow rapidly over the coming years.

An Interview with Brad Anderson, Founder, President & CEO of Solarc, Inc. By Patrick Reames

At CommodityPoint, we will on occasion visit with the leaders of the largest suppliers of technology in the commodity trading and risk management (CTRM) space to get their take a broad range of topics, from the current state of the ETRM/CTRM market place to recent developments within their companies.

Today’s conversation is with Brad Anderson, founder, president & CEO of Solarc, Inc.

An Interview with Richard Quigley of Datagenic

I first met Richard Quigley, CEO of Datagenic a few months back at the Essen E-World Conference and Tradeshow. He was very keen to catch my attention and talked with passion about his business and products. Recently, I caught up with Richard again by phone to discuss with him data management and associated issues around commodity trading and risk management. Here is what I learned.

Can you briefly introduce DataGenic and its history as a supplier of data management solutions?

Interview with Salim Jabbour, CEO of Abacus Solutions Inc

Recently, I caught up with Salim Jabbour of Abacus Solutions Inc. Under his leadership, Abacus has developed and gone to market with a new product, SATURN, an integrated enterprise risk management solution with broad functionality and deep analytics. SATURN is described as a “next generation ETRM system with breakthrough real time full simulation portfolio optimization”. I was interested in getting an update about the product since my initial review prior to its commercial launch. The following is an interview with Dr. Jabbour.

Since we last spoke over 3 years ago, SATURN seems to be gaining market penetration momentum. How do you explain your ability to compete with large well established ETRM vendors?