Econometric Modeling

The domestic economy is comprised of thousands of commodity trade flows within industry sectors.

Competitors, with billions invested in farms, plant and equipment manage the market risk associated with buying inputs and selling outputs through futures contracts and options.

“An econometric model specifies the statistical relationship that is believed to hold between the various economic quantities pertaining to a particular economic phenomenon under study.” –Wikipedia

The Virtual Refinery Program (VRP) applies the knowledge and research performed for the logistics industry by its principals to manage fuel costs for a fleet of over 800 trucks—a process known as econometric modeling—to create an investable strategy from their applied expertise in this field.

Using proprietary econometric models, virtual industries are created that simulate the rational actions of market participants.

Learn more about the Virtual Refinery Program >