Real-time position data – an essential tool in a challenging energy market

The emphasis for many businesses is increasingly on intra-day trading and less on forward period trading.

Being able to access data quickly and efficiently is essential in this challenging energy market. Demand and production must be forecast or managed on an ever shorter-term basis, and so timely and accurate position data is critical to the responsiveness of a business.

Organisations need to be able to access data in near real time, however, many energy businesses in the UK do not have this capability. Many businesses are using ETRM systems based on old technology, or are using spreadsheets, so will usually have to wait until the end of the day, or even the next day to get a true understanding of their exposure across the business.

The more complex the operation is, the more risk there will be, and, while individual traders will know what their portfolio looks like, they will be unable to see the picture as a whole. This lack of knowledge will lead to missed opportunities and may make an organisation risk averse.

Our ETRM system enTrader® disaggregates the trade immediately at the point of trade, storing more data in greater detail. It supports multiple time series granularities down to 15 minute intervals or lower, which means that, when there is the need to look at positions, the data is already available to view, and organisations can access it quickly and with ease.

In a fast-paced and challenging market, real-time position information should be an essential component of a modern ETRM system.  Organisations should be looking at their systems to see if they have the architecture to achieve this important capability, and if not, planning for the future. Greater flexibility with fast and simple access to positon data is only likely to become more crucial over future years.”

View more information on our ETRM system here.

Comments Mikkel Kynde, of NGF Nature Energy, which uses Contigo’s enTrader ETRM solution: “The fact that enTrader lets us see our position and assess risk in near real-time is a real benefit for us. We can monitor our position in different books and, as all trades are imported automatically onto the system, we don’t risk counterparty error.”