Risk Management

Our prudent approach to managing the risk of commodity trading is fundamental to GARRETT's performance.

GARRETT applies a range of risk management tools to minimize overall exposure at any one point in time. These include:

  • Financial derivative instruments to hedge commodity price and foreign currency exchange rate risks
  • Insurance to hedge various operational risks including freight-related and political risks
  • Ready access to sufficient capital and funding to hedge liquidity risk
  • Strict policies and procedures to hedge counterparty relationships, fraud, and regulatory risks