Every successful gold market, institutions and places that provide services for gold trading are actually different. Specifically, it can be divided into intangible markets without fixed trading places, represented by London Gold Exchange and Zurich Gold Market, which can be called European; Commodity exchanges have gold trading business, represented by IMM in the New York Mercantile Exchange and the United States, which can be called American; Some gold markets are traded on specialized gold exchanges, such as China Gold and Silver Exchange Association and Singapore Gold Exchange, which can be called Asia.
European gold trading: There is no fixed place for gold trading in this kind of gold market. In the London gold market, the whole market is composed of the interconnection between major gold merchants and their subordinate companies, and transactions between gold merchants and customers are conducted by telephone and telex. In Zurich gold market, the three major banks buy and sell for customers and are responsible for settlement. The buyers and prices in London and Zurich markets are relatively confidential, and it is difficult to estimate the transaction volume.
American gold trading: This gold trading market is actually based on a typical futures market, and its trading is similar to other commodities traded in this market. As a non-profit organization, futures trading itself does not participate in trading, but only focuses on the venues and equipment provided, and at the same time formulates relevant laws and regulations to ensure fair and just trading and strictly monitors trading.
Asian gold trading: this kind of gold trading generally has a special gold trading place, and gold futures and spot trading are carried out at the same time. The trading system is a membership system. Only companies and banks that meet certain requirements can become members, and the quota of members is strictly controlled. Although the number of members entering the trading hall is small, their reputation is extremely high. Take China Gold and Silver Exchange as an example: members of the exchange conduct transactions in the form of open bidding and oral clappers. Because the gold merchants in the venue strictly abide by their credit, they rarely violate the rules.
2. Participants of buyers and sellers in the gold market
Participants in the international gold market can be divided into international gold merchants, banks, hedge funds and other financial institutions, various legal entities, private investors and brokerage companies that play a huge role in gold futures trading.
International gold traders: The five gold traders in London gold market are the most typical. They are gold traders themselves. Because they have extensive contacts with major gold mines and gold in the world, their subsidiaries have contacts with many shops and gold customers, and the five major gold dealers constantly quote the buying price and selling price of gold according to their own conditions. Of course, gold traders are responsible for the risk of gold price fluctuations.
Bank: It can be divided into two categories. One is that they only buy, sell and settle accounts for customers and do not participate in gold trading. As representatives, the three major banks in Zurich act as brokers between producers and investors and play an intermediary role in the market. There are also some self-employed people. For example, in the Singapore Gold Exchange (UOB), many self-operated members are banks.
Hedge funds: In recent years, international hedge funds, especially American hedge funds, have been active in every corner of the international financial market. In the gold market, almost every plunge is related to fund companies borrowing short-term gold to sell in the spot gold market and establishing a large number of short positions in the the New York Mercantile Exchange Gold Futures Exchange. Some large hedge funds often take advantage of the countless ties with the political, industrial and commercial circles and financial circles of various countries, first seize the changes in economic fundamentals, and use the huge funds under management to trade short, thus accelerating the changes in the price of the gold market and making profits from it.
Various legal entities and individual investors: this includes companies specializing in selling gold, such as major gold mines, gold producers, gold products merchants specializing in buying and consuming gold (such as various industrial enterprises), jewelry stores and private gold collectors, as well as investment companies and individual investors specializing in buying and selling gold; There are many kinds and quantities. However, according to the degree of preference for market risks, it can be divided into risk aversion type and risk liking type: the former hopes to avoid risks and minimize the risk of market price fluctuations, including gold producers and gold consumers; The latter are various hedge funds and other investment companies, hoping to gain benefits from price fluctuations. The former hopes that gold will preserve its value and pass on risks; The latter wants to make a profit and is willing to bear market risks.
Broke 'sFirm: It is a brokerage institution that specializes in gold trading for non-exchange members and collects commissions. Some exchanges have turned brokerage firms into brokerage firms. In new york, Chicago, Hongkong and other gold markets, Hou Yue has many brokerage companies. They don't own gold themselves, but send representatives to buy and sell gold for customers in the trading hall and collect commissions.
3. Relevant supervision and management institutions
With the continuous development of the gold market, in order to ensure the justice and fairness of the market, protect the interests of buyers and sellers, and put an end to illegal transactions such as price manipulation in the market. The gold market supervision system has been established everywhere. For example, the Commodity Futures Trading Commission (CFFC) in the United States, the Financial Services Authority in the United Kingdom, the Hong Kong Securities and Futures Commission in Hong Kong and the Monetary Authority in Singapore.
4. Relevant industry self-regulatory organizations
World Gold Council: A non-profit organization composed of global gold producers, headquartered in London, with offices in major gold markets. Its main function is to increase the sales of gold in the world as much as possible by guiding the structural changes of the gold market (such as eliminating taxes, reducing barriers, improving the distribution channels of the world gold market, etc.). ). Form a stable support for world gold production and establish a positive image in front of all actual and potential gold buyers.
London Gold Market Association (LBMA): The London Gold Market Association was established in 1987. Its main responsibility is to improve operational efficiency, expand the influence of the London gold market, and thus reduce investment. Promote the business activities of all participants, including gold producers, refiners and buyers. At the same time, we will cooperate with the British Monetary Authority, the General Administration of Customs and other relevant British administrative departments to maintain the stable and orderly development of the London gold market.