Research on Risk Control under the Background of Electricity Futures Market
In the process of electricity marketization, the electricity futures market is an effective means to avoid the risk of electricity price fluctuations. Based on the background of the electricity futures market, this article first analyzes the physical and market factors of the price fluctuation risk...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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EDP Sciences
2020-01-01
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| Series: | E3S Web of Conferences |
| Online Access: | https://www.e3s-conferences.org/articles/e3sconf/pdf/2020/25/e3sconf_caes2020_06032.pdf |
| _version_ | 1818846241319026688 |
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| author | Chang Suyuan Liu Dunnan Li Xiaoyu |
| author_facet | Chang Suyuan Liu Dunnan Li Xiaoyu |
| author_sort | Chang Suyuan |
| collection | DOAJ |
| description | In the process of electricity marketization, the electricity futures market is an effective means to avoid the risk of electricity price fluctuations. Based on the background of the electricity futures market, this article first analyzes the physical and market factors of the price fluctuation risk in the electricity market; then, it studies the principle and implementation effects of the power futures hedging function; finally, the manufacturer’s strategy of hedging based on the price difference between the spot price of electricity and the price of forward contracts has been studied in detail. This article believes that the electricity futures market can effectively hedge the spot market risk, and hedging strategies based on the difference between the spot price and the forward price are better. |
| first_indexed | 2024-12-19T05:42:25Z |
| format | Article |
| id | doaj.art-6db0a661a7d14c6bb72bacea3ebe96df |
| institution | Directory Open Access Journal |
| issn | 2267-1242 |
| language | English |
| last_indexed | 2024-12-19T05:42:25Z |
| publishDate | 2020-01-01 |
| publisher | EDP Sciences |
| record_format | Article |
| series | E3S Web of Conferences |
| spelling | doaj.art-6db0a661a7d14c6bb72bacea3ebe96df2022-12-21T20:33:58ZengEDP SciencesE3S Web of Conferences2267-12422020-01-011650603210.1051/e3sconf/202016506032e3sconf_caes2020_06032Research on Risk Control under the Background of Electricity Futures MarketChang Suyuan0Liu Dunnan1Li Xiaoyu2North China Electric Power UniversityNorth China Electric Power UniversityNorth China Electric Power UniversityIn the process of electricity marketization, the electricity futures market is an effective means to avoid the risk of electricity price fluctuations. Based on the background of the electricity futures market, this article first analyzes the physical and market factors of the price fluctuation risk in the electricity market; then, it studies the principle and implementation effects of the power futures hedging function; finally, the manufacturer’s strategy of hedging based on the price difference between the spot price of electricity and the price of forward contracts has been studied in detail. This article believes that the electricity futures market can effectively hedge the spot market risk, and hedging strategies based on the difference between the spot price and the forward price are better.https://www.e3s-conferences.org/articles/e3sconf/pdf/2020/25/e3sconf_caes2020_06032.pdf |
| spellingShingle | Chang Suyuan Liu Dunnan Li Xiaoyu Research on Risk Control under the Background of Electricity Futures Market E3S Web of Conferences |
| title | Research on Risk Control under the Background of Electricity Futures Market |
| title_full | Research on Risk Control under the Background of Electricity Futures Market |
| title_fullStr | Research on Risk Control under the Background of Electricity Futures Market |
| title_full_unstemmed | Research on Risk Control under the Background of Electricity Futures Market |
| title_short | Research on Risk Control under the Background of Electricity Futures Market |
| title_sort | research on risk control under the background of electricity futures market |
| url | https://www.e3s-conferences.org/articles/e3sconf/pdf/2020/25/e3sconf_caes2020_06032.pdf |
| work_keys_str_mv | AT changsuyuan researchonriskcontrolunderthebackgroundofelectricityfuturesmarket AT liudunnan researchonriskcontrolunderthebackgroundofelectricityfuturesmarket AT lixiaoyu researchonriskcontrolunderthebackgroundofelectricityfuturesmarket |