ETRM Oil and Gas Trading software stands for Energy Trading and Risk Management software focus on energy commodity trading and risk management. ETRM software is used by financial trading companies, banks and physical energy companies from upstream, midstream to downstream. Core software functionality includes trade capture, trade valuations, counterparty creditworthiness, and limit monitoring, risk factors reporting and monitoring, trade compliance, and financial derivative accounting (Mark-to-Market) and hedge accounting. Additional functionality used by oil and gas companies usually includes products scheduling on a pipeline, rails, vessels, storage tanks together with trade volume actualization and accounting settlement.
ETRM system like EnHelix software designed specifically for oil and gas industry to streamline trading operations, better risk management, and maximize margins with artificial intelligence. In addition, EnHelix blockchain enables traders to automate their trader orders, get better spreads, and reduce manual paperwork significantly. EnHelix is an integrated oil and gas software for oil and gas trading, credit, scheduling, and accounting that eliminates data hand-off between different systems and save time on reconciliations, better security, and internal controls. Besides, EnHelix new artificial intelligence solutions provide voice assistants, AI forecasting and predictions, and lots of automation.
ETRM Commodity Trading
EnHelix provides full trade management from new trade, amended trade, electronic confirmations, credit monitoring, contracts document generation and approval workflow, scheduling, economics modeling and analytics, price analytics, actualization and accounting settlement, sub-ledgers and optional financial accounting (AP/AR/GL)
Besides the core solutions, EnHelix oil and gas artificial intelligence automatically machine learns about your business data and provide a comprehensive business AI dashboard with vital AI statistics and PKI. Oil and gas trading companies can create their very own blockchain network easily using EnHelix blockchain technologies and conduct smart contracts with their other traders, business partners, JVs, vendors, banks, and regulators.
How EnHelix Uses Artificial Intelligence in the Oil and Gas Trading Space
In today’s market situation where margins are squeezed, commodity traders are looking for tools that could help them to increase profitability. Artificial intelligence technologies offer new opportunities to improve process performance and realize significant cost savings. These technologies can be implemented in short sprints, focused on a specific problem, with manageable costs.
In the context of commodity trading, AI-powered technologies are not the ability to forecast potential price movement up or down or foresee a fundamental change in a specific commodity. Instead when applied to commodity trading, artificial intelligence attempt to read and decipher order flow coming into the exchanges for entry or exit of a long or short commodity contract position.
The system calculates all incoming data at a rate of milliseconds, deciphers it, and automatically produces buy and sell orders with great speed and in large volume. No part of the artificial intelligence’s decision-making process was formed from a fundamental occurrence of the commodity.
To be fair, whether decisions to buy or sell are generated by human thought process or computer programmed, the attempted result for speculation is the generation of profits. Speculation is needed in commodity production. Speculators assume the risk for those who wish to transfer risk. Rampant speculation has the potential to push the price of a commodity above or below what fundamentals may have warranted. This impacts the final price to the consumer.
Many algorithmic traders attempt to justify their existence in the markets by suggesting they provide liquidity. Although the volume of orders does produce liquidity, but only to a few that are either currently in the market or can act or react at the same speed in which they operate.
AI makes a real difference in commodity trading by mining important data and providing cheap and easily available tools that benefit everyone, not just corporate. The investment decisions made by AI will be calculated, accurate and unbiased unlike those made by humans, who are supposedly too emotional for the stock market.
Finally, in today’s low-price market, oil and gas firms that need to stand strong and remain competitive must adopt the use of AI technologies which has the potentials to differentiate between companies that thrive and those that will be left behind. One such technology that is revolutionalizing the oil and gas industry is EnHelix.
EnHelix is an AI ready energy trading and risk management software platform designed to serve energy businesses of size and kinds. EnHelix offers turn-key solutions for commercial contract management, marketing and trading, pipelines and plants management, land management, asset optimization, supply and logistics, accounting, risk management, operations, engineering, and other functions.
Even as a fully-functional product, EnHelix delivers artificial intelligence, big data analytics, the blockchain, data warehouse, compliance and collaboration processes for the enterprise.
EnHelix ETRM is deployed an on-premise hybrid cloud or entirely on the cloud. The software platform includes desktop application, web portals, and cloud all work together with built-in AI and blockchain functionality. In addition, it offers a Software Development Kit that gives enterprise IT developers the ability to add custom functionality, extend AI and blockchain capabilities and interface external applications.