Koch smooths volatile waters

Koch has marketed the first energy volatility swap in a deal with hedge fund Centaurus, a move the oil trader hopes will increase its share in options marketsand attract more hedge funds to the energy business. JamesOckenden reports

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Wichita, Kansas: the welcome sign at the airport proclaims it to be “thehome of aviation”. The tiny airport notwithstanding, the city has indeedseen some impressive names from the flying business set up shop there: Cessna,Lear, Beech and Raytheon, to name a few.

Wichita can also boast some history with regard to the energy business. On theoutskirts of the city, surrounded by cornfields, lies the headquarters of KochIndustries, which traded the first ever oil swap – through Chase Manhattanbank

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