Bright forecast for weather derivatives

Weather derivatives have experienced a long incubation stage since their introduction ten years ago. But this year, the slow maturation has shot up into healthy growth. From April 2005 to March 2006, the notional value of weather derivatives jumped fivefold to $45.2 billion, according to the Weather Risk Management Association (WRMA). And some analysts are optimistically forecasting a market in the trillions of dollars.

Brian O'Hearne, managing director of environmental and commodity markets at S

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: