Forward contracts have two important functions. First they should be useful for risk management strategies of a company and second they should help to get an idea about the future direction of spot prices. This paper analyses the causal relationship and information transmission between spot- and...

Which statistical model delivers the best possible forecasts of either spot - or forward shipping freight rates? In which direction runs the causality? Do FFA's provide a competitive edge to those using them? Daily data for the Baltic Exchange Panamax routes P2A and P3A from 2005 to 2009 is...