power trading hi folks :
very glad to hear about the new developments . just to recap what we
discussed this morning about different things you need to look into to set up
trading operations and the contacts :
1 . licence to trade : regulatory people : i guess you know about this part
better than me .
2 . trading & risk mgmt : global risk mgmt oversight : john sherrif in london
has the overall responsibility outside western hemisphere . research group can
help with the structuring models used for trading .
3 . risk conrols : before trading group is operational , it needs to get the
authorization from the board of directors of enron along with total position
limits and possibly value @ risk limits . these limits are typically by
commodity type and by region . risk assessment & control ( rac ) under rick buy
performs the internal control function ensuring that the businesses adhere to
these trading limits . ted murphy is the vp in rac overseeing the trading
operations . the value @ risk models come from the research group , but
day - to - day monitoring of the numbers is done by ted ' s group .
4 . credit risk : a credit reserve number is computed for each deal ( again , the
models are created by research ) and is transferred to the credit group under
bill bradford ( also in rac ) . this is basically like buying insurance from the
corp . , so that if there is a couterparty default , the loss is covered by the
reserve pool of the credit dept .
5 . legal : the name i was given is alan aronowitz for legal help .
6 . back office : initially can survive with excel spreadsheets . you should
contact the it though when the plans finalize to talk about systems .
australia is the most recent place where we set up the trading operations .
you can talk to paul quilky , the trader there to talk about these issues
( mention to him that grant masson in research gave his name ) .
barry pierce in london was incharge of back office at the begin there .
i can coordinate for talking with people next week . give me a call monday if
possible . i hadn ' t the time to search for the presentation stuff today . will
do it next week .
krishna .
power trading
hi folks :
very glad to hear about the new developments . just to recap what we
discussed this morning about different things you need to look into to set up
trading operations and the contacts :
1 . licence to trade : regulatory people : i guess you know about this part
better than me .
2 . trading & risk mgmt : global risk mgmt oversight : john sherrif in london
has the overall responsibility outside western hemisphere . research group can
help with the structuring models used for trading .
3 . risk conrols : before trading group is operational , it needs to get the
authorization from the board of directors of enron along with total position
limits and possibly value @ risk limits . these limits are typically by
commodity type and by region . risk assessment & control ( rac ) under rick buy
performs the internal control function ensuring that the businesses adhere to
these trading limits . ted murphy is the vp in rac overseeing the trading
operations . the value @ risk models come from the research group , but
day - to - day monitoring of the numbers is done by ted ' s group .
4 . credit risk : a credit reserve number is computed for each deal ( again , the
models are created by research ) and is transferred to the credit group under
bill bradford ( also in rac ) . this is basically like buying insurance from the
corp . , so that if there is a couterparty default , the loss is covered by the
reserve pool of the credit dept .
5 . legal : the name i was given is alan aronowitz for legal help .
6 . back office : initially can survive with excel spreadsheets . you should
contact the it though when the plans finalize to talk about systems .
australia is the most recent place where we set up the trading operations .
you can talk to paul quilky , the trader there to talk about these issues
( mention to him that grant masson in research gave his name ) .
barry pierce in london was incharge of back office at the begin there .
i can coordinate for talking with people next week . give me a call monday if
possible . i hadn ' t the time to search for the presentation stuff today . will
do it next week .
krishna .