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Base Metals Desk 155 Bishopsgate London EC2M 3TQ United Kingdom Email [email protected] Tel +44 (0)20 7200 7340
Base Metals Desk Contents
1. Tullett Prebon – Overview of the company
2. The London Metal Exchange
3. Who we are
4. Services
5. tpMETALDEAL
6. Summary
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Base Metals Desk
• One of the world’s leading interdealer brokers listed on the London Stock Exchange
• Revenue of £360.3m in 2014*
• Offices in 23 countries worldwide, including London, New York
and Hong Kong, with more than 2,600 employees
• Focusing on: Rates, Treasury, Volatility, Credit, Equities, Energy & Commodities and Non-Banking
Tullett Prebon
*Source: Tullett Prebon Interim Results to 30th June 2014
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Base Metals Desk The London Metal Exchange (LME)
• Established in 1877, the world’s largest non-ferrous metals market sets the global benchmark price for copper, aluminium, lead, zinc, nickel and tin
• Acquired by Hong Kong Exchanges and Clearing Ltd in 2012, the bourse houses Europe’s last open outcry trading floor “the Ring”
• LME offers risk management for producers and consumers, and an efficient trading platform for speculator/investor flows
• LME volumes reached $14.6 trillion in notional value last year across three platforms: the Ring, electronic and telephone
• As a category 2 member of the London Metal Exchange, Tullett Prebon is entitled to clear and issue contracts in LME futures and options using both telephone and Select (the official electronic trading system of the LME)
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Base Metals Desk The two biggest contracts
Aluminium Copper
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Base Metals Desk Metal price performance over past ten years
Copper, aluminium, lead and zinc trade in 25 metric tonnes per lot Source: Bloomberg data December 2013
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Base Metals Desk Metal price performance over past ten years
Nickel and tin trade in 6 and 5 metric tonnes per lot respectively Source: Bloomberg data December 2013
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Base Metals Desk Our team
• Mark Sedgwick and Steve Walter head the desk specialising in fund execution; both joined from MF Global in London
• Mark’s 15 years experience include 5 years at Newedge, while Steve worked at MF Global for 15 years
• Simon Underhill heads up the options desk and joined from Newedge
• Anna Stablum is a former metals correspondent and joined from Reuters and Bloomberg News
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Base Metals Desk Services
• The non-proprietary execution desk specialises in accommodating trades for consumers, merchants and funds
• The highly experienced team assures discretion, speed and accuracy
• Substantial client volumes make it possible to execute deals without leaving “footprints” in the market
• The desk offers clearing and credit facilities
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Base Metals Desk Services
• With a “client-first” strategy, the dedicated team offers flexible personal service and bespoke research
• Our reach within the market to producers, consumers and merchants provides the team with valuable information directly shared with clients – making it possible to be ahead of the game
• Continuous monitoring of key industry drivers and catalysts to provide immediate client updates
• Tullett Prebon’s regulatory profile places emphasis on “top-day” matching, which promotes timely trade clearing and streamlines end-of-day settlements of margin payments
• Our electronic trading solution is called tpMETALDEAL
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Base Metals Desk tpMETALDEAL
• tpMETALDEAL is specially designed to meet clients’ needs and allows fully risk-managed trading
• Through FFastFill Plc, a software provider to the global derivatives community, the electronic trading system provides straight-through routing to the bourse’s LMESelect
• It offers fixed connectivity capabilities and various execution types, including stop limits, ghost orders and random icebergs
• Full service and assistance is given during the operating hours of LMESelect
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Base Metals Desk LME vs Other Asset Classes Over Past 10 Years
Source: Bloomberg data December 2013 (nominal values)
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Base Metals Desk Summary
• Boutique-style metals desk
• Non-proprietary
• Experienced team
• Fast and accurate service
• Discreet execution so “no footprints”
• Electronic trading platform tpMETALDEAL
• Credit and clearing facilities
• Bespoke research and information
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Base Metals Desk
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Disclaimer
The information in this communication is provided for informational and demonstrational purposes only and neither is it intended as an offer or solicitation with respect to the purchase or sale of any security nor should it serve as the basis for any investment decisions. In the UK, this material is intended for use only by persons who have professional experience in matters relating to investments falling within the Financial Services and Markets Act 2000 or to persons to whom it can be otherwise lawfully distributed. Any reference to ‘Tullett Prebon’ refers to Tullett Prebon plc and/or its subsidiaries and affiliated companies as applicable. Neither Tullett Prebon plc, nor any of its subsidiaries (“Contributors”) guarantees the accuracy or completeness of the information or any analysis based thereon. Neither Tullett Prebon plc nor Contributors make any warranties, express or implied, with respect to the information (including without limitation any warranties of merchantability or fitness for particular purposes) and neither Tullett Prebon plc, nor Contributors shall be liable for economic loss or any indirect, or consequential loss or damages including without limitation, loss of business or profits arising from the use of, any inability to use, or any inaccuracy in the information. Tullett Prebon provides a wholesale broking service only. Tullett Prebon (Securities) Ltd and Tullett Prebon (Europe) Ltd are Authorised and regulated by the Financial Conduct Authority (“FCA”). This publication is produced and distributed in accordance with the FCA Handbook. Recipients should note that all such publications are objective and impartial in their content unless clearly notified otherwise. The author(s) act in accordance with our ‘Conflict Management Policy’, full details of which can be viewed on our website at www.tullettprebon.com.
Base Metals Desk 155 Bishopsgate London EC2M 3TQ United Kingdom Email [email protected] Tel +44 (0)20 7200 7340
