Layered Hedging – Monthly Layers2017-08-17T20:46:21+00:00

Layered Hedging – Monthly Layers

Monthly layered hedging is a finely-tuned strategy in which prices may be fixed for a percentage of expected usage during a single month or across several particular (possibly non-consecutive) months. This strategy involves identifying specific monthly pricing opportunities, rather than simply the weighted average of an annual strip.  Executing this strategy requires a great deal of effort and is most suitable for large accounts with high monthly volumes.