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| Topic: |
Business
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| Number of pages / Number of words: |
4 / 1079 |
Essay's paper body
For the risk management, weather derivatives allow corporations to transfer a well-defined portion of their weather-induced profit volatility to a third party. The premium charged on the weather derivatives depend on number of factors including the future probability of certain weather events occurring for a given period from an historical and actuarial perspective, future forecasts and trends, and the level at which the customer wants protection to begin (deductibles)...
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The premium charged on the weather derivatives depend on number of factors including the future probability of certain weather events occurring for a given period from an historical and actuarial perspective, future forecasts and trends, and the level at which the customer wants protection to begin (deductibles)...
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