In this paper, we assess the revenue potential of asset‐backed trading in the Swiss utility sector. We demonstrate the need for greater transparency regarding hedging transactions, asset‐backed trading and proprietory trading. We show that the performance risk of prop trading might overlap with the hedging or revenue potential of asset‐backed trading. Our findings emphasize that a differentiated performance and risk assessment disclosure in the notes, in particular with regard to risk of speculative transactions, must be part of good corporate governance.