Agenda advanced trading course

Advanced trading course hosted by Chicago Climate Exchange

Cap and Trade Market Dynamics

Chicago Climate Exchange® (CCX®), Chicago Climate Futures Exchange® (CCFE®) and European Climate Exchange® (ECX®): Leading Exchanges in the Global Carbon Markets

Speakers:
Will Babler, Principal, First Capitol Risk Management
Nathan Clark, Vice President & Director, Emissions Offset Projects, CCX
Rob McAndrew, Senior Vice President, CCX
Brian Rice, Principal Atrium Carbon Fund
Dan Scarbrough, Vice President, CCFE
Gil Avidar, Vice President, Emissions Derivatives Broker, Newedge Financial Inc.

AM Session: Overview of the Global Carbon Markets

I. Operationalizing Policy and Operating Voluntary Markets
a. ECX and the European Union Emissions Trading Scheme (EU ETS)
b. Montréal Climate Exchange (MCeX) and the Canadian Carbon Market
c. Chicago Climate Futures Exchange (CCFE)
i. U.S. EPA Acid Rain Program: Mandatory Cap and Trade Programs for SO2 & NOx
ii. CCFE CFI Futures and Options: CFTC Regulated Products in the North American Voluntary Carbon Market
d. CCX: World’s First and North America’s only Voluntary, Legally Binding Cap and Trade Program for the Reduction of Greenhouse Gas Emissions

II. CCX System
a. Market History and Mechanics
b. Membership
i. Emitters: Voluntary but Legally Binding Commitment
ii. Offset Providers/Aggregators
iii. Market Makers
c. Why Participate Now?

III. Offsets Program
a. CCX Offset Project Protocols
b. Project Review, Verification & Registration Process

Q&A

PM Session: Carbon Market Focus

IV. The Carbon Financial Instrument® (CFI®) Contract Defined
a. Allowances vs. Offsets
b. How the CFI gets to the Market / Role of FINRA – Independent Verification & Market Oversight
c. CCX Registry, Trading Platform, and Clearing & Settlement
d. Cash, Futures and Options
e. Market Drivers

V. Implementing Carbon Trading Strategies
a. Carbon Market History and Future
b. Managing Risks & Maximizing Opportunities
c. Trading Dynamics and Strategies
d. Understanding the relationship between CFI cash and futures markets
e. Issues related to hedging Offset Project cash flows

Q&A