HKEX ‘tweaks’ LME fees where it will improve volume, liquidity, says Charles Li

Hong Kong Exchanges & Clearing (HKEX) has been reviewing the fees the London Metal Exchange charges and has cut fees on short-dated carries where it can make a difference to volume and liquidity, HKEX ceo Charles Li said during the FT Commodities Asia Summit 2016 in Singapore on Monday September 5.

“We are in difficult market and we are tweaking the commercial basis,” Li said. “We are cutting fees on short-dated carries.”
“So when people talk about LME fee increases and [that] everybody can’t afford it, I keep reminding people that we only bought the tip of the iceberg; it’s a $3.3 billion fee business,” he added, saying the bourse is only making $100-200 million.

“The massive OTC [over-the-counter] market...

Published

Shivani Singh

September 05, 2016

16:27 GMT

Singapore