London silver fix to stop in August
Duncan Richardson, News Editor
14 May 2014, 9:59 a.m.
The company that runs the London silver fix will stop operating from 14th of August, according to the company that administers the process. The process underpinning both the gold and silver fix has come under increased scrutiny from both UK and German regulators amid accusations that members of the fix colluded to benefit from the process. In April Deutsche bank resigned from the process underpinning both the gold and silver fix after failing to find a buyer.
The three members of the silver fix, Deutsche Bank AG, Bank of Nova Scotia and HSBC will continue to participate in the fix until its closure in August. The London Bullion Association has indicated they are prepared to work with industry participants to explore if the market wants to develop an alternative to the silver fix.
The silver fix currently takes place at 12 O’clock each day between Deutsche Bank AG, HSBC, and the Bank of Nova Scotia, who declare how much silver they want to buy and sell for both their clients and own accounts.