The dramatic drop in energy prices since 2014, and the largely abysmal returns faced by a record number of commodity-focused hedge funds in 20151 (net returns for commodity hedge funds were -7.24% in 2015), led to a lot of energy firms being under capitalized at best, and insolvent at worst. Financing pressure on commodity trading companies have attracted hedge fund, private equity funds investors who are chasing for well priced energy assets. This transpired in conjunction with a lot of Investment Banks exiting the commodities sector, given high regulatory capital requirements and regulatory restrictions on physical trading.