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LME launches discussion paper on market structure

First Published 25th April 2017

The London Metal Exchange and LME Clear to publish a discussion paper on the LME's market structure, feedback is invited from market participants.

Matthew Chamberlain, LME

Matthew Chamberlain, LME

The LME is embarking on a market-wide engagement period, ending on 30 June 2017. The analysis undertaken in the preparation of the discussion paper, in conjunction with feedback from market users, will provide the LME with the foundations on which it will build specific proposals for future development. Following a period of analysis of the feedback, the LME intends to publish an outcomes document in which it will articulate its strategic direction, expected in the autumn.

The discussion paper is focused on six core topics:

· The LME ecosystem, its stakeholders and their needs;

· Trading and booking structures, and the date system;

· Clearing structures and services;

· Delivery and physical market structure;

· Membership; and

· Volumes, fee structures and new products.

Commenting on the announcement, Matthew Chamberlain, LME CEO, said: "Our core strategic vision is to work with our members to make LME trading more accessible and efficient, while fully respecting our physical roots. This paper lays out the principles on which we plan to build our business, and invites feedback from all stakeholders on the routes by which we deliver that strategic vision."