The London Metal Exchange (LME) has published a notice regarding the membership resignation of China Merchants Securities (UK) Limited. LME says it has approved the resignation of China Merchants Securities (UK) Limited as a Category 2 member pursuant to Regulation 10.3(c) of Part 2 of the LME Rulebook.

LME Clear Members are similarly advised that China Merchants Securities (UK) Limited has withdrawn from membership of LME Clear as a General Clearing Member in accordance with the LME Clear Rules and Procedures Rule 3.6.

The resignation takes place with immediate effect, that is, it is effective January 5, 2021.

Let’s note that Category 1 members of LME have the exclusive right to trade LME contracts by open outcry in the Ring, in the telephone market and on LMEselect and are entitled to issue client contracts to their clients. As clearing members, they are permitted to clear trades on their own behalf and on behalf of their clients and, as a result, must be members of LME Clear.

Category 2 members are clearing members and are permitted to trade LME contracts in the telephone market and on LMEselect and issue client contracts. As clearing members, they are permitted to clear trades on their behalf and on behalf of their customers and, as a result, must be members of LME Clear.