The FIS Bunkers desk provides fast and professional execution, with unparalleled transparency, market knowledge and expertise.
FIS has responded to the need for new tools to manage price risk by developing bunkers futures or the Fuel Oil Single Swap (FOSS).
Making Bunkers Futures Simple
FOSS is a cleared, cash-settled fuel oil swap based on the Platts daily assessment price of the main indexes, with a tenor of up to four years. Rather than rely on users trading large clip sizes at high cost, FOSS allows users to trade as little as one lot (1 metric tonne) up to the maximum that fits their requirements.
FIS has chosen to initially focus its attention on the most liquid fuel oil markets and will offer execution brokering services on the following contracts listed for clearing on ICE, CME, NASDAQ QMX and SGX:
Rotterdam 3.5% Barges
NWE 1%FOB cargoes
MED 1%FOB cargoes
US Gulf Coast No.6 3.0%
The fuel oil paper market, used for hedging bunker fuel exposure is very liquid.
But shipowners are still a very small part of the fuel oil paper market, and can often get side-lined because of their trade size requirement, whereas FIS can cover all sizes from 100mt to 100,000mt.
These allow producers, users and investors to manage the risk associated with volatile commodity prices.
FIS can obtain representative prices in almost any port where bunkers can be supplied. Please contact us for further details.
"We publish daily Fuel oil market and technical reports available to clients on request."