MONTREAL, June 6, 2014 /PRNewswire/ - Kitco Metals Inc. has launched an enhanced global Kitco Silver Fix Network on kitco.com, the number-one ranked precious metals website in the world.
In response to a significant bullion market development, kitco.com is now publishing four fixing prices: the 10 AM New York Silver Fix, the 10 AM UK Silver Fix, the 10 AM Hong Kong Silver Fix and the 10 AM Mumbai Silver Fix. These time zones were chosen because they represent the world's largest precious metals trading centers.
Not only was Kitco able to create a new method to determine the silver fixing prices, the process was validated through vigorous back-testing against the current mechanism. Having four price points each day, as opposed to one, is expected to be a welcome convenience for many market participants.
"Creating the Kitco Silver Fixes not only addresses our business needs but we believe our global platform and market presence will establish an international standard that will help other organizations as well," John Dourekas, Senior Vice President, Kitco Labs. "Our new fixing network gives precious metal traders a geo-strategically balanced view of the global silver market."
Kitco's move was prompted by the London Silver Market Fixing Ltd.'s decision to stop administering the London Silver Fixing as of Aug. 14, 2014. The London Silver Fixing has historically provided the transparent benchmark price that the precious metals trade relies on. With its impending end, Kitco saw a solution to the difficulties that would be created should a silver price reference point cease to exist.
Kitco's Silver Fixing price is derived by a unique algorithm that averages the spot price between bid/offer on the wholesale silver market, as quoted by internationally recognized bullion dealers.
The fixing will be updated shortly to include data showing the lowest and highest price used in the calculation of our fix along with the standard deviation. Kitco is also willing to share all the data with anyone interested in subscribing to the Silver Fix, upon acceptance of their terms of use.
Companies interested in using the fix can provide feedback by emailing [email protected]
The production and publishing of these new silver fixes is in keeping with the pioneering tradition of data provision that makes Kitco the world's most trusted source of important metals market information.
Kitco Labs is a division of Kitco Metals Inc.
About Kitco Metals Inc.
Kitco's leading website, www.kitco.com, is visited daily by close to a million people around the world. It is recognized as the definitive voice on precious metals information. The company has earned a solid reputation as an innovator in the industry since its founding in 1977. Kitco Metals was the first precious metals company to carry out its activities online and to create real-time market information applications for smart phones. Kitco is one of the largest retailers of precious metals in the world.
SOURCE Kitco Metals Inc.
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