Brady plc (BRY.L), a leading global provider of trading, risk management and settlement solutions to the energy, commodities and recycling sectors, announced today that Metallica Commodities Corp has selected Brady’s trading and risk solution for the management of its hedging and derivative trade activities, including physical contract positions and valuations for its precious and base metals business.
Metallica Commodities Corp was founded in 2001. Since its inception, the core business of the company has been the trading of all complex non-ferrous metals with a focus on the commercial recycling of most residues and by-products resulting from the mining, metallurgical, recycling and processing industries and the commercialization of those residues and by-products.
MCC will use Brady’s cloud solution to manage all derivatives trades, track and provide a consolidated view of exposure, positions, MTM and P&L across the business in real-time. The system will interface with its in-house developed physical trading platform ensuring the physical and hedge positions are linked and managed effectively. MCC will have complete visibility of its risk exposure and financial position in an integrated trading and risk management platform, facilitating the tracking of their hedge transactions, managing any slippage risks, identifying new opportunities and enhancing profitability.
Jay Camhi, Hedge Program Manager, Metallica Commodities Corp. commented: “Our business requires accuracy of data and real time visibility of both financial and physical positions. So many companies try to run their risk and hedging activities on spreadsheets and by trying to do so, in volatile markets, their data is often inaccurate making it almost impossible to react to any market opportunities. Partnering with Brady gives us confidence that we have selected the best solution to manage our activities more effectively and in much less time than previously, as well as having full control and visibility of our positions, with the additional ability to identify potential new opportunities”.
Gavin Lavelle, CEO Brady plc commented: “Our experience has shown that Brady’s ability to cover all of the nuances of base and precious metal trades, particularly around the less standard products, such as average price contracts and swaps, and the ability to reflect the valuation and risk of all of these products is a major advantage to our customers.” He continued: "We are excited to become a crucial component of MCC’s trading operations and to help them improve the visibility of their trading operations by providing them insight into their true financial and operational risk”.