Product/Service

WeatherBook

Source: e-Acumen, Inc.
WeatherBook
WeatherBook is a weather risk management system for maximizing risk-adjusted returns from weather-related risk.
WeatherBook is a weather risk management system for maximizing risk-adjusted returns from weather-related risk. It is ideal for companies trading weather derivatives, as well as companies with weather risk affecting any revenue stream, such as reinsurance and agricultural companies. WeatherBook utilizes state-of-the-art simulation techniques to achieve unprecedented accuracy in analyzing portfolios with weather risk. WeatherBook prices weather derivatives and portfolios of weather and cross-commodity risks using a proprietary non-linear, non-parametric Monte Carlo simulation algorithm that builds out the joint probability distributions between all positions in a portfolio. Unlike other products on the market, WeatherBook effectively captures the multiple scales of variability in climate data, as well as the complex inter-relationships between multiple contracts in its simulation engine, providing a major step forward in simulating the risk-adjusted returns on weather derivatives and portfolios with weather-related risk.