SEN 509 | Course Introduction and Application Information

Course Name
Energy Trading and Risk Management
Code
Semester
Theory
(hour/week)
Application/Lab
(hour/week)
Local Credits
ECTS
SEN 509
Fall/Spring
3
0
3
7.5

Prerequisites
None
Course Language
English
Course Type
Elective
Course Level
Second Cycle
Course Coordinator
Course Lecturer(s) -
Assistant(s) -
Course Objectives This course focuses on real-world applications and concepts with regard to energy trading and risk management; the course serves as a motivation and stimulation for actual / ongoing academicians and professionals willing to enter and work in the electricity markets for academic research or professional career purposes. For that reason, real-world cases, practical applications and problems in the field of energy trading and risk management will be covered in the class. An active online electricity trading game will be conducted to apply and train the learned concepts in the course.
Course Description The students who succeeded in this course;
  • interpret the general structure of electricity markets,
  • understand the fundamentals of electricity trade and the main principles of price formation in the electricity markets,
  • comprehend the main electricity price and demand forecast models,
  • identify the main concepts and products in the electricity trading markets,
  • analyse the implications of risk management models among electricity and carbon markets,
  • discuss investment opportunities and strategies in electricity markets.
Course Content Focusing on the fundamentals and structure of the global electricity market primarily, the course also investigates the dynamics of the price mechanism by using analysis and modelling tools. Besides the principles and successful show cases of portfolio and risk management among energy trade, electricity and carbon markets in details. In order to support the theoretical background, an online trading game will be conducted throughout the course as well.

 



Course Category

Core Courses
Major Area Courses
Supportive Courses
Media and Management Skills Courses
Transferable Skill Courses

 

WEEKLY SUBJECTS AND RELATED PREPARATION STUDIES

Week Subjects Related Preparation
1 Basics and Structure of Electricity Markets Related articles will be assigned
2 Price Formation, Analysis and Modeling in Electricity Markets Related articles will be assigned
3 Understanding of Fundamental Electricity Price Drivers Related articles will be assigned
4 Energy Trading I: Trading Markets, Exchanges and Trading Products Related articles will be assigned
5 Energy Trading II: Online Trading Game Introduction Lecture notes and presentations
6 Asset-Based vs. Speculative Trading Lecture notes and presentations
7 MIDTERM EXAM
8 Electricity Portfolio Management I Lecture notes and presentations
9 Electricity Portfolio Management II Lecture notes and presentations
10 Electricity Risk Management I Lecture notes and presentations
11 Electricity Risk Management II Lecture notes and presentations
12 Paper Presentations I
13 Paper Presentations II
14 Investment Opportunities and Strategies in Electricity Markets Related articles will be assigned
15 Carbon Markets, Trading and Risk Management Related articles will be assigned
16 Online Trading Game: Final Results & Discussion, Announcement of Winner

 

Course Notes/Textbooks
Suggested Readings/Materials

 

EVALUATION SYSTEM

Semester Activities Number Weigthing
Participation
1
10
Laboratory / Application
Field Work
Quizzes / Studio Critiques
Homework / Assignments
1
35
Presentation / Jury
1
25
Project
Seminar / Workshop
Oral Exams
Midterm
1
30
Final Exam
Total

Weighting of Semester Activities on the Final Grade
3
65
Weighting of End-of-Semester Activities on the Final Grade
1
35
Total

ECTS / WORKLOAD TABLE

Semester Activities Number Duration (Hours) Workload
Theoretical Course Hours
(Including exam week: 16 x total hours)
16
3
48
Laboratory / Application Hours
(Including exam week: 16 x total hours)
16
Study Hours Out of Class
15
5
Field Work
Quizzes / Studio Critiques
Homework / Assignments
1
40
Presentation / Jury
1
30
Project
Seminar / Workshop
Oral Exam
Midterms
1
32
Final Exam
    Total
225

 

COURSE LEARNING OUTCOMES AND PROGRAM QUALIFICATIONS RELATIONSHIP

#
Program Competencies/Outcomes
* Contribution Level
1
2
3
4
5
1

To be able to demonstrate general business knowledge and skills.

2

To able to master the state-of-the-art literature in the area of specialization.

3

To be able to evaluate the performance of business organizations through a holistic approach.

4

To be able to effectively communicate scientific ideas and research results to diverse audiences.

5

To be able to deliver creative and innovative solutions to business-related problems.

6

To be able to solve business related problems using analytical and technological tools and techniques.

7

To be able to take a critical perspective in evaluating business knowledge.

8

 

To be able to exhibit an ethical and socially responsible behavior in conducting research and making business decisions.

9

To be able to carry out a well-designed independent and empirical research.

10

To be able to use a foreign language to follow information about the field of finance and participate in discussions in academic environments.        

*1 Lowest, 2 Low, 3 Average, 4 High, 5 Highest