Many corporations in the developed world face price and quantity uncertainty in commodities for which there are traded assets -- futures and options contracts -- which permit these corporations to hedge the risk to which they are exposed. Finance research has demonstrated frictions in capital...

Since the collapse of the Metallgesellschaft AG due to hedging losses in 1993, energy practitioners have been concerned with the ability to hedge long-dated linear and non-linear oil liabilities with short-dated futures and options. This paper identifies a model-free non-parametric approach to...

Since the collapse of the Metallgesellschaft AG due to hedging losses in 1993, energy practitioners have been concerned with the ability to hedge long-dated linear and non-linear oil liabilities with short-dated futures and options. This paper identifies a model-free non-parametric approach to...

Non-financial companies typically face a multitude of risks potentially leading to significant fluctuations in the firm's cash-flows. This paper presents a case study approach demonstrating the hedging strategy employed by an international air carrier managing its jet-fuel price exposure. We...