Recognizing the need for a comprehensive and consistent hedging strategy, the private equity firm partnered with AEGIS, a leading hedge technology and risk management advisory firm specializing in commodity hedging solutions. AEGIS conducted an in-depth analysis of the firm's portfolio, considering each manufacturing company's unique commodity exposures and risk tolerance. Leveraging their expertise and patented analytics, AEGIS crafted a customized hedging program aligned with the firm's investment objectives and risk appetite.
Working closely with the private equity firm's investment and operations team, AEGIS implemented a consistent hedging methodology across the entire portfolio. The solution involved:
- Streamlining internal processes
- Implementing market-leading technology
- Training key personnel
- Establishing robust risk-monitoring systems aligned with the company's objectives
AEGIS implemented the solution and provided ongoing support and guidance to ensure seamless integration, ensuring the firm and investments met their financial targets and that the portco adhered to the new risk management framework.