Would precious metal traders use an online platform instead of an intermediary voice broker?
Precious metal derivatives have traditionally been arranged by a voice broker acting as an intermediary between traders to arrange deals. But a new generation of traders have become used to arranging deals using online platforms, which removes the need for a broker and reduces fees, whilst providing greater transparency.
We created the Limpid Markets platform, the first of its kind for precious metal derivatives, targeted at the London and Zurich over the counter (OTC) interbank markets for precious metal swaps, EFP and physical precious metal participants. The platform provides a price discovery and proposal mechanism without the need for an intermediary voice broker.
Since launching, Limpid Markets has become the de facto platform for precious metal swaps and EFP. The customers are well established, high profile financial institutions who are members of the London Bullion Market Association (LBMA).