ICAP, Marex Spectron and Tullett Prebon Launch Tankard
Trade-backed Natural Gas Indices for UK and European Hubs
London, 6 February 2012 – The leading interdealer brokers in the European energy markets, ICAP, Marex Spectron, and Tullett Prebon, today launch ‘Tankard,’ a series of trade-backed natural gas indices for UK and European hubs.
The Tankard indices will initially cover the four leading traded natural gas hubs in Europe – the UK National Balancing Point (NBP), Dutch Title Transfer Facility (TTF), German NetConnect Germany (NCG) and GASPOOL. Each Tankard index is calculated exclusively using transaction prices for contracts for physical delivery at their respective hub, executed via one of the three brokers that comprise Tankard. ICAP, Marex Spectron, and Tullett Prebon provide comprehensive coverage of the OTC natural gas market. In 2012, the three brokers arranged an estimated €450 billion notional value of physically settled natural gas forwards. Tankard plans to extend these indices to further hubs in due course.
Richard Frape, Director of Market Services at Marex Spectron, said, "Providing robust and transparent indices based on actual trades will go a long way towards increasing the level of transparency in the European natural gas market. This collaboration between the three largest brokers in the OTC market for European natural gas is likely to provide a sound foundation for related physical activity."
The trades that make up the Tankard indices are physically-settled natural gas forwards, executed between utilities, natural gas producers, hedge funds, banks and trading houses.
Tankard publishes Day-Ahead, Weekend-Ahead and Month-Ahead indices for NBP, TTF, NCG and GASPOOL and a 15:25 to 15:30 index (UK time) for NBP ("Tankard 15:30"). The Tankard indices comprise the volume-weighted average of voice and electronic trades arranged by ICAP, Marex Spectron and Tullett Prebon.
All Tankard indices follow UK local time and the UK business day calendar. Day-Ahead and Month-Ahead indices are published daily at 18:00. The Weekend-Ahead index is published at 18:00 on the last business day of the week. The Tankard 15:30 index is published daily at 16:00. Tankard index data and the methodology are available at www.tankardindex.com.
Tankard notes the developing standards for financial benchmarks, particularly the current ESMA/EBA Consultation Paper "Principles for Benchmarks-Setting Processes in the EU" and the IOSCO "Consultation Report on Financial Benchmarks". The three firms that form the Tankard collaboration are committed to ensuring that the indices are produced in line with best practice as developed by the regulators and will implement any rules or guidelines as and when they emerge.
|Candice Adam |
|+44 (0)20 7397 2915|
|Serra Balls |
ICAP – Public Relations
|+44 (0)20 7050 7124|
|Richard Lindsay |
Marex Spectron – Marketing and Communications
|+44 (0)20 7650 4091|
|Alexandra Wick |
Tullett Prebon – Marketing and Communications
|+44 (0)20 7200 7579|
|Charlotte Kirkham |
Tullett Prebon – Public Relations
|+44 (0)20 7920 2331|
Notes to Editors:
Tankard is a collaboration between ICAP, Marex Spectron and Tullett Prebon, the major interdealer brokers in UK and European natural gas. For further information about Tankard, or for licensing enquiries, please contact firstname.lastname@example.org.
ICAP Energy Limited
ICAP Energy, a subsidiary of ICAP plc, is an innovative leader in the energy and shipping industries, providing full-service and over-the-counter broking and advisory capabilities to a broad spectrum of businesses throughout the world.
The group has approximately 350 staff located in London, North America, Singapore, Sydney, Geneva, Bergen, Amsterdam, Madrid, Copenhagen and Sao Paulo. ICAP Energy offers real-time price discovery and execution services in crude oil and oil products, biofuels, agriculture and softs, base and precious metals, iron ore, electricity, natural gas, coal, emissions, freight, weather derivatives and physical products. ICAP Energy was named "Broker of the Year" in 2012 by Energy Risk magazine in a poll of over 1,500 market participants.
For more information please visit www.icapenergy.com.
Marex Spectron Group
Marex Spectron is the one of the world's largest commodities brokers, with market-leading positions in metals, energy, agricultural products, freight and environmental markets. The Group also offers clients financial futures and foreign exchange broking. Clients include commodity producers and consumers, banks, brokers, CTAs, hedge funds and professional traders. Marex Spectron Group is a member of the London Metal Exchange, the CME Group exchanges, ICE US, NYSE Liffe, ICE Futures and Eurex, and offers access to all major exchanges in the US and Asia.
The Group is headquartered in London with offices across the USA, Asia and Europe. Its subsidiaries are regulated by the Financial Services Authority in the UK, the National Futures Association in the US and the Securities and the Futures Commission in Hong Kong.
Marex Spectron Group is majority owned by JRJ Group and its partners, Trilantic Capital Partners and BXR Group.
For further information, please visit www.marexspectron.com.
Tullett Prebon Group Limited
With a heritage stretching back over 140 years and a presence in 21 countries, Tullett Prebon is one of the world's largest interdealer brokers. It acts as an intermediary in the wholesale financial markets across the following product groups: Energy & Commodities, Interest Rate Derivatives, Fixed Income Securities and their derivatives, Treasury Products and Equities.
In 2012, it was voted the overall number one broker in power for the fourth consecutive year by Risk and Energy Risk. The Energy & Commodities division provides a single comprehensive source for price information and liquidity, alongside insight and information on virtually every sector of the market.
For further information please visit www.tullettprebon.com.