2023 weather derivatives market saw a 250% trading volume surge due to climate volatility and companies managing weather risks.

2023 saw a significant surge in the $25 billion weather derivatives market, driven by increasing climate volatility and companies managing weather risks. Trading volumes spiked more than 250% with listed products experiencing a 260% jump, while outstanding contracts increased 48% year-over-year. The market offers investors a chance to bet on meteorological conditions like rain, sun, and temperature, with companies now confronting their exposure to weather-related risks.

May 08, 2024
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