Risk – As Deutsche Bank retreats from commodities markets, three of its former top US power and gas traders have set up a new hedge fund specialising in financial transmission rights (FTRs), a type of instrument whose payout depends on price differentials between locations in nodal power markets.
Houston-based Tokamak Energy Partners was founded by Andrew Grams, the former head of power, natural gas and natural gas liquids trading at Deutsche Bank, Tom May, the firm’s former head of North American power trading, and Huber Salas, a former FTR trader at the bank.
