"The window of opportunity is too close to look at buying into ERUs," said Erik Boonman, head of origination of energy, carbon and commodities at Fortis Bank Nederland. "Look how close were are to the end of Phase II. There is no confidence in the markets that places such as Russia, which constantly delay output, will be able to deliver the amount intended, even by 2011."
He adds that, taking legal fees into account, "it isn't really worth it for the investor".
ERUs are units of greenhouse gas
The week on Risk.net, October 6-12, 2017Receive this by email
- SGX, HKEX expect to be among first wave of Mifid II equivalence
- Leaked EU doc could shield legacy swaps from clearing grab
- Quantile, TriOptima face off in cleared swaps compression battle
- ABS set for revival under US Treasury’s liquidity buffer plans
- Quants stymied by lack of alternative risk premia flows data