We explore optimal hedge ratios and hedging effectiveness for the German electricity market. Given the increasing … in order to account for risk reduction through hedging. Results allow us to conclude that: dynamic hedging strategies … provide higher variance reductions in terms of hedging effectiveness; there is poor correlation among spot and futures, not …

The present study investigates the hedging effectiveness of commodity futures contracts for spices and base metals by … employing cointegration and error correction methodology with different maturity time horizons varying from one month to three … like traders, farmers and other stakeholders in commodity trading domain. Hedging effectiveness is also measured at various …