INTL FCStone Inc. (NASDAQ: INTL) has announced that its London-based subsidiary, INTL FCStone Ltd, is one of the first general clearing members to join the London Metal Exchange’s (LME) newly created LMEprecious service, following its launch last year. The LME, along with the World Gold Council and a group of industry participants, created LMEprecious to introduce exchange-traded, loco London precious metals products.
LME Gold and LME Silver futures provide new opportunities for trading, price discovery and risk management creating an enhanced market structure for the precious metals community. As an existing LME member, and now an LMEprecious member, INTL FCStone Ltd will have the ability to trade and clear Gold and Silver contracts.
Barry Canham, Global Head of INTL FCStone Ltd’s Metals Division, commented on today’s news, “There is a specific market demand for this product and we are pleased to be an early stage adopter of the LMEprecious platform. Being an LMEprecious member will allow us to further serve our clients through enhanced growth and risk management strategies, while also solidifying our position as a global leader in the precious metals industry.”
LMEprecious offers spot pricing, along with daily and monthly futures (out to five years) for both gold and silver – delivering greater choice for market participants and modernizing the gold and silver markets to better reflect the needs of global players. The gold and silver bullion are physically held in London, providing efficient settlement between LMEprecious and OTC market deliveries.
Robin Martin, Head of Market Development for the LME concluded, “Given their significant experience in precious metals trading, we are delighted to welcome INTL FCStone as our newest LMEprecious member as we look to further expand our offering. The LME has always been a global liquidity center for metals and LMEprecious is an important step for us in building on our strong relationships within the precious metals community.”