Derivatives and international trade

Issues for discussion:

• Introduction to derivatives:
– Derivatives as a price risk management tool in international trade
– What is hedging and what it is not – basic principles
– The difference between operational and strategic hedging

• The trader’s view:
– As a shipowner
– As a charterer / commodity trader
– As a producer and end user

• Master netting and collateralisation agreements as a critical contractual risk management tool.

• The relationship between derivatives and defaults under commodity sale contracts and charterparties:
– How a single breach e.g., an off-spec cargo or a late ship, can close an entire derivatives trading book
– Recoverability of hedging / derivatives trading losses in:
– Commodity sale contracts disputes
– Charterparty disputes

Chair:The Hon. Sir Bernard Rix
Panellists:Geoff Arnold - Head of Trading - British Steel
Catherine Jago - Expert & Arbitrator - CJH Energy Ltd
Paul Sinnott - Partner – Eversheds
Sean O’Sullivan QC - 4 Pump Court
Venue:Eversheds Sutherland
1 Wood Street
Time:6.00pm - 8.00pm
CPD Points:This event is accredited for 2 CPD points