Strategy alternatives

Anchored in the risk management strategy which matches market opportunities with the company risk profile, we determine the most appropriate procurement strategy. We ensure that the strategy and the ongoing processes are implemented throughout the organisation resulting in added customer value for your company on every corporate level.

To each PM STRATEGY is attached standard product descriptions, but almost all PM STRATEGIES can be tailor made to meet all specific customer needs on RISK/REWARD targets, hedging, trading and RISK levels.

All strategies include:

  • Setup and management of monthly portfolio reporting
  • Daily management of your positions
  • Regular market analysis and assessments
  • Monthly reporting
  • Ongoing performance monitoring and comparison with the selected strategy

Click on the model to read about each strategy or follow the links below:

 

Posible price volatility

Low
Medium
High
Budget price is key

Choose this 90/10 strategy if your company is focusing on security and stability in budget planning and budget price.

90/10 strategy
Exploit market opportunities

The 70/30 strategy is primarily focused on budget safety and stability, but also the possibility of exploiting price fluctuations.

70/30 strategy
Lowest price possible

The discretionary portfolio management strategy is for the company that wishes to optimise and exploit the price fluctuations in the market, while achieving the lowest price possible. The strategy is both suitable for short term and long term hedging.

Discretionary portfolio management
Highly budget oriented

Choose the Max/Min strategy if your company wants the lowest possible risk within the strategy, while focusing on budget safety/stability.

Min./max. strategy
Budget oriented but exploit market opportunities

The ”staircase hedging” strategy tracks the market closely by incremental hedging.

Staircase hedging
Exploit market opportunities

The 70/30 strategy is primarily focused on minimising price fluctuations while allowing for trading optimisation.

70/30 strategy
Price stability and budget price is key

The index strategy is for the company that wishes to eliminate price fluctuations over time and always achieve the average market price or better.

Index strategy
Highly budget oriented

Choose the Max/Min strategy if your company wants the lowest possible risk of price fluctuation, while also exploiting market opportunities.

Min./max. strategy
Price stability is key

The 90/10 strategy is for the company that wishes to have the lowest possible risk of price fluctuation , while also allowing for a higher level of market optimization.

90/10 strategy
Low
Medium
High

Possible risk impact

References
Aller Aqua

“It is an advantage that the agreement can be adapted to our peak season.“ Carsten Jørgensen, CEO of Aller Aqua Danmark.

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Knudsen Plast A/S

“Energi Danmark has the largest El Pool solution in the electricity market, which gives us peace of mind.” Jørgen Wad Johansen, CFO at Knudsen Plast A/S.

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Bogense Plast

“To buy electricity is a question of trust and partnership” Jesper Ove-Bisgaard, Bogense Plast.

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Welcon A/S

“It gives us confidence to know that Energi Danmark is always monitoring the market.” Johnny Skov, Executive at Welcon A/S.

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Contact Energi Danmark Securities