Sempra is one of the largest participants in trading and marketing of physical energy, energy derivatives products, including natural gas, power, crude oil and associated commodities in the U.S. and Europe. My role as consultant was to evaluate Risk Management systems and Controls. To determine:

• Are the tools employed by management to measure and monitor risk exposure adequate.
• Is the level of risk exposure appropriate given the institution’s size, sophistication, and financial condition?
• Are the risks in the portfolio of products and activities recognized, understood, measured, and managed?
• Are the trading activities conducted consistent with the goals and risk tolerance of senior management and board of directors?