Einar Aas was a power market trader, based in Grimstad, Norway. His failed trades on Nasdaq Nordic power exchange in September 2018 almost burned through the exchange's clearinghouse default fund and required clearing member firms to plug in $113 million to cover the losses.
Aas began his career as a risk manager at Interkraft Trading and later started his own trading firm starting in 2005. For almost two decades, he was the most successful trader on Nasdaq Nordic, one of Europe’s largest power markets. He reportedly amassed more than $420 million in income from 2002 to 2018, and was Norway's highest taxpayer in 2016.
He was known for being shy and reclusive and made his trades from his house in Grimstad, a small seaside town three hours south of Oslo.
The trade that ended his run was a bet that the spread between the Nordic and German power would narrow. When the market opened that Monday, carbon emission allowances were surging and pushed up the German market. At the same time, wet weather forecasts caused the Nordic next-year contract to drop the most since January 2017.
After his disastrous trade, he was banned from Nasdaq Nordic.
Aas graduated from the Norwegian School of Economics.
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