London Metal Exchange Starts Sweeping Review

By Sarah McFarlane Features Dow Jones Newswires

The London Metal Exchange launched a wide-ranging review on Monday, seeking feedback from its users on its structure, after two years of falling trading volumes.

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The 140-year-old exchange's volumes fell after its owner Hong Kong Exchanges & Clearing Ltd. (0388.HK) raised fees, causing some users to shift their business off the exchange, preferring over-the-counter trading.

Last year the average daily volume fell almost 8% compared with 2015, according to the exchange.

The review covers topics including fees, contract structures, and new products.

It's the first move by new LME Chief Executive Matthew Chamberlain since he was formally appointed on Friday, having performed the role on an interim basis since January.

"This paper lays out the principles on which we plan to build our business, and invites feedback from all stakeholders on the routes by which we deliver that strategic vision," said Mr. Chamberlain.

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Write to Sarah McFarlane at sarah.mcfarlane@wsj.com

(END) Dow Jones Newswires

April 24, 2017 12:09 ET (16:09 GMT)