Insurance-backed participation in contracted energy-trading programs, supported by physical fuel transactions and disciplined risk management. Capital raised through the bond collateralises the bank instruments that guarantee each transaction. Within an individual transaction, capital may also be applied to operational purposes, facilitated by a letter of credit issued against that instrument.
Each opportunity is curated deal by deal around matched 12-month supply contracts for EN590 ultra-low-sulphur diesel and Jet A. Every purchase has a confirmed buyer before execution, priced as a fixed percentage discount to the Platts index, so the spread is preserved at every price level and the program carries no open, speculative position.
Title to the fuel never passes until payment is received in full, and every buyer posts a full-value bank guarantee before delivery — securing each transaction on both sides at once.
Returns are generated from the margin on contracted, physical fuel that is bought and delivered — not from betting on the direction of energy prices.
Both the buy and the sell leg reference the same Platts index, so the percentage spread is preserved whether prices rise or fall. The differential does not compress.
Retained title, full-value buyer letters of credit, and pre-qualified backup buyers mean the worst case is a redirected sale — not a loss of capital.