Many energy companies have a natural position in weather which is their largest source of financial uncertainty. Since operating results correlate well with common weather statistics, such as cooling and heating degree days, hedging strategies based on weather outcomes can be employed to transfer weather risk to counterparties, including insurance companies, banks, large energy companies and trading companies.

As the first broker with a full-time staff dedicated to the field of weather hedging, Natsource is uniquely positioned to develop strategic and effective weather hedging transactions. As this new market evolved, it quickly became apparent there were applications in weather beyond energy markets. Our weather specialists have now successfully completed weather hedging transactions for companies in agriculture, construction, transportation, water resource management, recreation, retail sales and reinsurance.

Learn More about Natsource's Weather Hedging Division!