ConfirmHub LLC said Thursday that Nymex Holdings Inc., parent company of the New York Mercantile Exchange Inc. (Nymex), has signed a letter of intent to join Amerex, GFI Group, ICAP Energy, Tullett & Prebon Energy, TFS Energy and Spectron in support of the ConfirmHub standard, which is the industry effort to provide standardized format delivery of confirmations via a single secure interface.
ConfirmHub allows energy traders and back offices to receive their Nymex brokered and bilateral over-the-counter (OTC) cleared trades, as well as their futures and OTC trades, on a single confirmation platform. It is an industry effort to provide standardized format delivery of confirmations via a single secure interface. ConfirmHub facilitates straight through processing, increased efficiency, improved accuracy and eases the burden of confirmations management. ConfirmHub LLC said that more than 50 of the largest industry participants subscribe to ConfirmHub and more are adopting the standard.
"The world's leading energy exchange coupled with our current slate of the largest inter-dealer brokers will provide the industry with access to a vast majority of the energy market cleared, OTC and futures trade information in one place, at one time," said Patrick McKinnon, executive director of ConfirmHub LLC. "As a developing standard, we couldn't be more enthusiastic about Nymex support."
Founded in 2004, ConfirmHub LLC said the current market environment of increased volatility, higher volumes and lower profit margins "make it imperative" that firms focus on operating efficiencies. The ConfirmHub offers a single interface through which energy market participants can confirm their transactions with the three leading brokers in the space -- Amerex, ICAP and Prebon. Technology provider GlobalView Software said its MarketView product provides the technology framework around which the ConfirmHub is built.
"Nymex is committed to being the energy industry innovator and providing leading edge tools and information to the energy trading community," said Richard Schaeffer, Nymex's chairman. "We believe ConfirmHub's standardized electronic confirmation platform will yield tremendous advantages to risk managers and users of Nymex products and over-the-counter brokerage services."
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