Welcome to the new EnergyHedge newsletter from CommodityPoint’s Energy Hedge Fund Center (EHFC). It has been quite some time since the last issue of EnergyHedge was written by Peter C. Fusaro and myself, and this new version will be shorter and more compact than the original version and will be issued twice per month going forward.
In fact, there have been quite a few changes at the EHFC. As you may know, the EHFC website and its assets were acquired by Midas Medici Group Holdings (OTCBB: MMED) on behalf of CommodityPoint on June 8, 2011. EHFC had been historically quite active with approximately 10,000 monthly unique visitors, a community of 1,400+ members and this newsletter with 1,300+ subscribers. Clients included hedge funds, investment banks, institutional and private investors, energy companies, educational institutions, government, consultants and the media. EHFC first drew attention to the interest in energy and commodity funds with its definitive sponsored research on energy hedge funds in energy in 2004 and the book, “Energy and Environmental Hedge Funds: The New Investment Paradigm” (Wiley, 2006).
In the last week or so, the website has been totally replaced and revamped. It is no longer a member-only community, but rather vibrant news and information portal carrying information, news, views and analysis around hedge funds in the energy and broader commodity industry. Take a look at the all new site and let us know what you think. Over time, we intend to add a variety of third-party information and news services to increase its value as a resource even more. Some time before the end of the year, there will also be a re-launch of the Directory of Energy & Commodity Hedge Funds in a much-improved format. Additionally, CommodityPoint will develop specific services around the EHFC web portal including possibly via its sister companies assistance in deal structuring.
Meanwhile, interest in the energy and commodities space on the part of investors remains high. There are many new hedge funds and other investment vehicles pursuing a variety of strategies in energy and commodities and commodities is still viewed as a relatively uncorrelated asset class. News this week that the Earth has reached seven billion human inhabitants only serves to strengthen the commodity and raw materials investment story of ever increasing demand while continued price volatility has begun to bring in a whole raft of new traders to the table in the form of manufacturers, food and beverage, transportation and other entities who increasingly need to hedge their raw material costs and better optimize their supply chains. The future looks interesting, if not bright, despite broader worries about the global financial picture and CommodityPoint via the EHFC intends to help paint and explain that picture going forward.
Please visit the EHFC at www.EnergyHedgeFunds.com and find out more about CommodityPoint at www.CTRMBlog.com