Leveraging AI: The future of commodity trading risk management

Summary

The commodity trading industry is inherently a fast-paced environment and always has been. In order to navigate in today’s evolving volatile commodity markets and to manage the various risks more efficiently, the commodity trading industry is now exploring how to incorporate Artificial Intelligence (AI) techniques into everyday business activities and end-to-end processes.

In this event, we shall discuss the views of the professionals in the commodity trading industry as well as other professionals in the financial industry on the use of AI to manage various risks in trading commodities.

In particular we shall discuss the following topics

1. We shall start with an introduction of AI and how it can significantly help to enhance the management of risks in general.
2. What it would take for  commodities trading companies to get ready to implement and use AI.
3. We shall discuss examples from professionals that have implemented AI within their organization – company and lessons learned on successes and failures.
4. Use of AI along the commodity trading end-to-end processes to better manage operational risks and to increase efficiencies.
5. The integration of AI within trading strategies to enhance the management of market – price risks volatilities as well as to offer better chances of market profitability.

Presenters

• Cyril Reol, Group Chief Information and People Officer and Board Member for Mercuria, also Non- Executive Director and Board Member for various technology ventures.
  Before Mercuria, he was Group CTO for Man Group in London and Group CIO and Board Member for Glencore in Zug for nearly 10 years. He started his career in Commodity Trading as Group CIO for Addax & Oryx in Geneva and with over25 years in the industry, he delivered  significant transformations and integrations in the trading supply chain.
• Petya Sechanova, Founder and CEO of Covantis since 2020. Covantis is a fair, trusted platform that improves efficiency, transparency, and information-exchange for everyone feeding the world. The platform enables market participants to perform contract execution and exchange documents, contractual notices, and messages in an efficient, auditable, and secure way. The company is co-owned by its founding members: ADM, Bunge, Cargill, COFCO, Louis Dreyfus, Marubeni and Viterra.
  Prior leading Covantis, Petya had already more than 20 years of experience in multinational companies, including 11 years with Cargill, during which she has served in a series of Trade Execution leadership positions.
• Sandro Schmid, partner of the LPA / Lucht Probst Associate Consulting company in Zurich and SRA Founder and Co-President until 2022. SRA Board Member and Chair Person of the Chapter “Digital Age – Technology Risk & Return”.
• Moderated by Vuk Stancic, Director at EY – Financial Services and Risk Management
  Vuk Stancic is a Director at EY Risk Consulting based in Geneva. Hi career spans over 20 years working with commodity traders and financial institutions on trading and risk management related topics. He is a subject matter expert in financial derivatives, market data and commodity trading and risk management systems. Vuk has been actively involved with commodity trading clients on their technology and AI initiatives.

Agenda

17:30 Doors open – Name Tag Collection
18:00 Introduction of Moderator and Panelists, Panel Discusion
18:05 SRA Presentation  (Sandro Schmid)
18:30 Panel Discussion moderated by Vuk Stancic
19:15 Q&A from the audience
19:30 Networking Drinks (All)
20:30 End

Chapter Event

This Chapter Event is available to members and free. We will be presenting one or more speakers to share their knowledge, updates and best practices on a specific risk topic. Within the small groups of risk professionals you can exchange thoughts and test ideas. This event is hosted by Chapter Romandie – Chaired by Jean-Pierre Colombara.