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HedgeStreet Adds Crude Oil Contracts
San Mateo, Calif., December 13, 2004 - HedgeStreet Inc., the nation's first financial market that lets online investors trade innovative financial instruments based on economic risks in their daily lives, announced today the addition of daily and year-end crude oil contracts, or Hedgelets, for hedging or speculating on the degree to which crude oil prices (per barrel) may rise or fall (http://www.hedgestreet.com/oil).
Said John Nafeh, Ph.D., founder and chief executive officer, "This is an opportunity for traders to participate in the oil market without a large capital commitment. HedgeStreet members can buy and sell crude oil Hedgelets for a fraction of what oil contracts on other exchanges may cost. With the recent volatility in crude oil prices, more and more investors want to augment their investments in specific oil equities and trade on their beliefs about where the price of oil is headed."
One of the most actively traded commodities in the world, crude oil is often plagued by significant price fluctuations. Much of its value is obtained through being refined into other products, including gasoline, for which Hedgelets are also available on HedgeStreet.
HedgeStreet, which opened in October, is available to any qualified individual with a $500 initial deposit and an Internet connection. The exchange's unique instruments, or Hedgelets, come in contract sizes of just $10. The first category of Hedgelets feature products similar to classic types of options products like currencies, interest rates and commodity-based products. Exclusive to HedgeStreet are Hedgelets that let retail traders take views on unique, underlying indices, including the price of gas, real estate values, mortgage rates and inflation, as well as economic activities such as retail sales.
About
HedgeStreet
HedgeStreet Inc. is the nation's first financial market that lets online investors trade innovative financial instruments based on economic risks in their daily lives. A designated contract market (DCM) and a registered derivatives clearing organization (DCO), HedgeStreet is regulated by the Commodity Futures Trading Commission (CFTC). HedgeStreet is a privately held company based in San Mateo, Calif. For more information, visit www.hedgestreet.com.
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