Modernising the market

Webinar: Enhancing Liquidity White Paper

LME CEO Matthew Chamberlain, LME COO and Head of Trading Jamie Turner, and LME Board Director Nigel Dentoom provide more detail on the White Paper in our webinar.

Documents

LME White Paper on Enhancing Liquidity (PDF)

LME White Paper: Letter from the LME CEO

Press release: LME progresses market structure evolution to enhance liquidity

Member Notice 24/240 (PDF)

LME White Paper overview (PDF)

In 19 January 2021, we issued the LME Discussion Paper on Market Structure, which set out a range of proposals designed to enable the LME to modernise and adapt to emerging trends and evolving customer needs to create a metals market fit for the future.

Built on the groundwork of 2017’s Strategic Pathway this discussion paper considered several structural changes to the LME. 

In June 2021 we published a summary of the broad market feedback we received, together with the outcomes of the discussion paper process.

Response and outcome documents

LME Notice: Outcomes of Discussion Paper on Market Structure (PDF)

Appendix 1: Response Paper (PDF)

Appendix 2: Closing Price Blueprint (PDF)

LME Market Structure Evolution: Summary (PDF)

LME Press Release – LME announces outcomes of Discussion Paper on Market Structure (PDF)

Overview presentation: LME Discussion Paper on Market Structure: Feedback and Outcomes (PDF)

Discussion paper documents: Issued January 2021

LME Press Release – LME issues discussion paper on future market structure

LME Discussion Paper on Market Structure 2021 (PDF)

LME Discussion Paper on Market Structure 2021 – Overview (PDF)

LME Discussion Paper on Market Structure 2021 – Additional data (issued March 2021) (PDF)

Member notices

21 153 Decision notice on proposals relating to the determination of Official Prices (PDF)

LME Consultation: 21 112 Proposals relating to the determination of Official Prices and associated LME Rulebook amendments (PDF)

21 011 Discussion Paper on Market Structure (PDF)

Press releases

LME issues discussion paper on future market structure

LME announces introduction of financial OTC booking fee and enhanced trading regulations

LME consults on financial OTC booking fee and enhanced trading regulations in support of market fairness

Published in September 2017, the Strategic Pathway set out our vision to drive growth, following a comprehensive period of engagement with the market.

The Strategic Pathway is underpinned by four key principles:

• serving the physical market by providing pricing, risk management and terminal market services to the global physical metals industry
• ensuring fairness and non-discriminatory access to our market
• increasing user choice and meeting the varied needs of all the LME’s users
• maximising trading efficiency for customers

Following the 2017 discussion paper and taking into account market feedback, the LME implemented:

• 2017: carry-fee reductions; tick size review
• H1 2018: Financial OTC Booking Fee introduction; introducing broker membership; B share initiatives; optional T2 booking model
• H2 2018: new product launches; implied pricing; TAS functionality
• 2019: enhancements to clearing services and electronic trading platform

LME Strategic Pathway (PDF)

LME Strategic Pathway: Summary (PDF)

Discussion Paper on Market Structure 2017: Feedback Summary (PDF)

LME Strategic Pathway infographics

LME Strategic Pathway video 

Financial OTC Booking Fee

Financial OTC Booking Fee Quick Guide  (PDF)