Our markets
Weather
In the last decade, weather markets have been emerging worldwide to enable industries such as energy, agriculture and tourism to hedge financial exposure to adverse weather outcomes. The profound impact that extreme temperatures has on Australian electricity and gas prices has seen weather derivatives increase in popularity as a hedging instrument and alternative investable commodity.
Ignition Energy Investments actively explores opportunities in weather markets as they relate to Australian energy and incorporates them into our portfolio where optimal. Whilst still an emerging market in Australia, we have established relationships with a range of participants who operate in the global weather markets, based out of North America and Europe. This has us well placed to make the best use of weather derivatives as part of our investment portfolio and risk management practices.