Gearbulk hedges its exposure to bunker fuel costs for its fleet of vessels and chose SD's commodities solution, SD-CM, for its ability to provide extremely accurate independent price checks for fuel markets before going to market.
SD-CM is the most user-friendly and powerful system of its kind in the commodity and energy derivatives marketplace. Its huge coverage includes over 65 options and structures across more than 80 underlying assets, ranging from precious metals, base metals, oil and refined products, natural gas, electricity, emissions and agricultural markets and freight.
SD-CM packages real-time market data with market-tested pricing models delivered through a versatile and user-friendly interface to create a unique front-end system.
This gives shipping companies access to accurate, independent and real-time pricing for almost any commodity and commodity related products and instrument or structure, allowing them to more effectively hedge any exposures that may affect their capacity to do business.
Ilias Angelidis, Treasury Analyst, Gearbulk, comments: 'After surveying the market for a solution to accurately price our fuel exposure, we selected SD-CM for its residual fuel oil coverage and its scalable pricing system supported by robust risk analytic tools. Our ability to price and manage our positions across the life cycle has improved dramatically since deploying it.'
Leor Jivotovsky, Commodities Product Manager, SD, comments: 'We look forward to continuing our expansion into the shipping sector and supporting market participants with tools to provide decision support and price discovery, facilitate idea generation and distribution, and minimize operational risk.
'With the opaqueness and illiquidity in the fuel markets, SD-CM fulfills a genuine market need in its ability to provide real time price discovery and visibility throughout the trading day.'
