Weather derivatives enable ski resorts to hedge weather conditions (temperature/humidity/wind) that prevent from producing artificial snow as well as the lack of snowfall. Cash flow smoothing throughout seasons is benefitial for this industry which is consistently exposed to weather risk.

For any shareholder who is not diversifiying weather risk from their portfolio, a weather risk management strategy is absolutely essential.



09/02/2013 11:27pm

In winter time we feel to be at home every time, but this is nice time to have some fun outside. Winter tourism is now popular in the world and tourists from different parts of the world are now interested in it. Thank you.

10/02/2013 2:45am

Yes I agree that weather risk management strategy is absolutely essential for the shareholder in this industry and it is better to be safe before a tragedy of loss.


Certain aspects of many of the risk management standards have come under criticism for having no measurable improvement on risk, whether the confidence in estimates and decisions seem to increase.

02/07/2014 11:00pm

this is very interesting post. I love it and I learn a lot from this.


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