.... Takeaki Kariya can be contacted at: kariya@kisc.meiji.ac.jp © Emerald Group Publishing Limited 2011 Japan Risk management Hedging Options markets Derivatives markets Financial modeling Weather derivatives Zero‐cost swap of temperature risk Equivalence of options on weather index...

...Hélyette Geman; Marie‐Pascale Leonardi The goal of the paper is to analyse the various issues attached to the valuation of weather derivatives. We focus our study on temperature‐related contracts since they are the most widely traded at this point and try to address the following questions: (i...