Kerry Consulting’s Ailing Huang was recently featured in Bloomberg News in a piece examining the sharp rise in hedge fund hiring across Asia’s power trading sector. The article explores how firms are repositioning themselves to benefit from heightened activity and volatility in electricity markets across the region.
With declining fluctuations in traditional commodities such as oil and gas, hedge funds are increasingly turning to the power markets in Australia and Japan. These markets offer both trading opportunities and price movement that appeal to speculative strategies.
“Hedge funds have been very active in hiring for commodities trading,” said Ailing Huang, Executive Director and Head of the Energy and Commodities Practice at Kerry Consulting. “They’re guided by where the volatility is and where markets are more active, and that includes power markets in Japan and Australia.”
Australia is seen as particularly attractive due to its large and mature power market, though it remains unpredictable due to ageing infrastructure and the intermittent impact of renewable energy. Japan, with its liberalised market and increasing number of derivatives contracts, has also become a focal point for new entrants.
“There’s a short supply of talent,” Huang added. “There’s a lot of know-how in conventional energy commodities, but there’s a shortage for power trading.” This limited pool of candidates is driving up base salaries, especially in Japan where English fluency is often required.
The article also references recent strategic hires by major hedge funds and trading firms across Asia, many of whom are establishing or expanding their presence in Singapore.
To discuss your hiring needs or talent strategies in the energy and commodities sectors, contact Ailing Huang at ah@kerryconsulting.com.