HeatingOil.com Presents: Financial Services for Heating Oil Dealers by Hedge Solutions

Ten years ago, buying and selling heating oil was simpler. Prices were less volatile and dealers and consumers alike had pretty good ideas about how much they would be spending on heating oil over the course of a heating season. But after the Commodities Modernization Act of 2000 allowed for more unregulated trading of commodities like heating oil by all kinds of investors, volatility has taken off and those interested in buying heating oil as a physical product and not a paper investment have been forced to play an unpredictable market. These days, if you're a heating oil dealer, you're also a commodities investor, whether you like it or not.

That's where financial services companies like Hedge Solutions of New Hampshire come in. These companies help heating oil dealers manage their costs by making sophisticated and well-placed investments that, among other things, protect against catastrophic losses in the event of sudden price spikes.

Financial management and protection make for more secure and financially stable heating oil companies, which helps keep consumer prices steady and protect against losses of hundreds or even thousands of dollars that sometimes occur as a result of a heating oil dealer going bankrupt.

HeatingOil.com met with Hedge Solutions president Richard Larkin (who offered his prediction for heating oil prices this season in a video we published two weeks ago), and spoke to him about the services his company provides, what price volatility means for the heating oil industry, and what the future may hold.

Whether you're a dealer looking for professional help with managing your costs or a consumer curious about the commodity market madness behind your per-gallon price, the HeatingOil.com interview with Richard Larkin is a must-see.

Category:

News & Politics

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• hedge
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• heating oil prices
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• Hedge Solutions
• Richard Larkin
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• CME
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• HeatingOil.com