Article: Calvin Beal: trading stupid looks smart. (energy futures trader)

For the last seven years, Calvin Beal has been making "a decent living" by making "stupid-looking" crude oil trades.

Well, it's not quite that simple.

Full of hope, Beal and two associates started Entrade, in New Jersey, to trade then-new energy futures in early 1984.

The only active principal, Beal had over 30 years' experience in the cash oil business. At Exxon, he rose to vice president for Venezuelan operations. And from 1973 to 1984, he had been involved with two trading companies.

But cash market dealing exposes traders to implementation problems like "off spec" cargoes and payment defaults, and he decided paper markets fit his style ...

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