Existing structure
Existing opportunities
Lessons from other asset classes
Leveraging technology
Introduction
Precious Metals Market Post-Trade Spotlight Review
Figure 2: Post-trade process
2
Existing structure of post-trade processes The first three stages of the precious metals trade lifecycle (execution, confirmation, and clearing) are broadly similar to other asset classes. However, the presence of vaults in the (non-cash) settlement stage differentiates precious metals from other asset classes. This section describes the current status of the European wholesale market post- trade landscape.
Trade Execution
Execution
1
Confirmation
Party A
Party B
1 Confirm Trade
2
Netting
Cash
3
Loco London
LPMCL
Settlement
Party A
Party B
Loco Zurich
Vault
4
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