Commodity and energy risk management

Global commodity markets experience constant volatility. Can your company identify and respond to market, credit, and operational risks?

Companies dealing in commodities are increasingly exposed to competitive economies, volatile markets, and changing regulatory mandates. Identifying and responding to these rapid changes and risks requires an emphasis on risk strategy, analytics, reporting, systems, and governance.

KPMG’s Commodity and Energy Risk Management (CERM) services can help you meet your broad and complex commodity and energy trading and risk management needs. We recognize commodity risk is different for companies in all sectors of the commodity value chain, from initial production through transportation and processing to final consumption. Through an integrated, holistic and flexible approach, our team can accommodate your diverse risks, objectives, complexities and constituencies. Our CERM services include:

  • Commodity trading technology: evaluation, selection and implementation
  • Cost reductions
  • Credit risk and collections
  • Data analytics
  • Digital automation
  • Governance, roles and policies
  • Hedging 
  • Risk strategy
  • Master data management
  • Operations/back office (including settlements, invoicing and confirmations)
  • Process efficiency
  • Regulatory compliance
  • Risk reporting and business intelligence

How our clients partner with us

Business models

Industry-observed business models, strategies, business transformation, & target operating models


Oversight, business unit interaction, risk tolerances, and delegations of authority & strategy implementation frameworks

Control infrastructure

Policies, procedures, organizational alignment, transaction- level controls, control infrastructure, & lines of defense

Transaction life cycle

Transaction-life cycle reviews end to end, commercial activity improvement, & hedging strategy 


Regulatory compliance, compliance monitoring, & trading compliance program management


ETRM technology sections, implementations, and diagnostics, robotic process automation, & digital labor 

Related insight


KPMG's Global Energy network works with major organizations in a variety of energy related sectors to respond to business issues and trends.

Read more

Energy, natural resources and chemicals

Shifting customer demands and disruptive technologies are transforming the energy sector.

Read more