Freddie Sizer, a former head of European physical gas trading at Freepoint Commodities LLC, has started to raise money for a new hedge fund that will seek to profit from increasing price swings in the region’s energy markets.
Europe’s power and gas markets have become more attractive to hedge funds in recent years because of a surge in volatility since Russia’s invasion of Ukraine as well as a stronger impact of global events on the once mainly regional markets. The jump in renewable energy and more extreme weather are also contributing to wider gaps between highs and lows in prices.