enron metals fx see resolution memo from andy cornfield and llloyd fleming sent separately
- - - - - - - - - - - - - - - - - - - - - - forwarded by mike jordan / lon / ect on 23 / 11 / 2000 12 : 37
- - - - - - - - - - - - - - - - - - - - - - - - - - -
from : lloyd fleming 22 / 11 / 2000 19 : 30
to : rick buy / hou / ect @ ect
cc : ted murphy , david port , gary hickerson / hou / ect @ ect , shane
dallmann / lon / ect @ ect , michael j hutchinson / eu / enron @ enron , tim r
jones / eu / enron @ enron , mike jordan / lon / ect @ ect
subject : enron metals fx
rick ,
i thought you might be interested in some information brought to me today by
andy cornfield ( director with the london risk management operations team ) ,
with regard to fx positions at enron metals : -
the overall fx exposure of the metals business is not yet routinely laid off
with the fx / interest rates desk .
euro currency exposure associated with a euro aluminium option is managed by
tim jones , the head of the metals financial trading desk . this position is
managed under a limit of $ 30 m , which was mg ' s old fx limit . enron metals is
treating this limit as an enron corporate fx limit for the purposes of
managing this position and all other fx exposure .
proprietary fx positions are occasionally being taken - most recently , andy
has found that yesterday a metals trader opened a long euro 5 million
position for value 28 / 11 . the trader is not the principal fx trader on the
metals desk , although he was formerly an fx trader with billiton ( acquired by
mg in 1999 ) and he became mg ' s assistant fx trader prior to enron ' s
acquisition of mg .
with regard to the last item , risk management and rac discussed this with
mike hutchinson and it was agreed that the euro 5 m position will be closed
out tomorrow .
as far as the first two items are concerned , rac and risk management will be
working with commercial heads to help ensure that enron corporate policy is
clearly communicated and applied .
regards
lloyd fleming
rac market risk management
ph : + 44 20 7783 4532
mobile : + 44 7760 17 87 42
enron metals fx
see resolution memo from andy cornfield and llloyd fleming sent separately
- - - - - - - - - - - - - - - - - - - - - - forwarded by mike jordan / lon / ect on 23 / 11 / 2000 12 : 37
- - - - - - - - - - - - - - - - - - - - - - - - - - -
from : lloyd fleming 22 / 11 / 2000 19 : 30
to : rick buy / hou / ect @ ect
cc : ted murphy , david port , gary hickerson / hou / ect @ ect , shane
dallmann / lon / ect @ ect , michael j hutchinson / eu / enron @ enron , tim r
jones / eu / enron @ enron , mike jordan / lon / ect @ ect
subject : enron metals fx
rick ,
i thought you might be interested in some information brought to me today by
andy cornfield ( director with the london risk management operations team ) ,
with regard to fx positions at enron metals : -
the overall fx exposure of the metals business is not yet routinely laid off
with the fx / interest rates desk .
euro currency exposure associated with a euro aluminium option is managed by
tim jones , the head of the metals financial trading desk . this position is
managed under a limit of $ 30 m , which was mg ' s old fx limit . enron metals is
treating this limit as an enron corporate fx limit for the purposes of
managing this position and all other fx exposure .
proprietary fx positions are occasionally being taken - most recently , andy
has found that yesterday a metals trader opened a long euro 5 million
position for value 28 / 11 . the trader is not the principal fx trader on the
metals desk , although he was formerly an fx trader with billiton ( acquired by
mg in 1999 ) and he became mg ' s assistant fx trader prior to enron ' s
acquisition of mg .
with regard to the last item , risk management and rac discussed this with
mike hutchinson and it was agreed that the euro 5 m position will be closed
out tomorrow .
as far as the first two items are concerned , rac and risk management will be
working with commercial heads to help ensure that enron corporate policy is
clearly communicated and applied .
regards
lloyd fleming
rac market risk management
ph : + 44 20 7783 4532
mobile : + 44 7760 17 87 42