Transcript Slide 1

DMCC Delivers Golden
Initiatives
Colin Griffith
Executive Director Gold, DMCC
Chairman, DGCX
April 24th, 2006
Dubai Multi Commodities Centre (DMCC)
Number of Registered Companies
800
600
400
200
0
December 2003
February 2005
25
263
“Dubai has an impressive history in the
international gold market but the
future is ever more exciting”
3rd
Colin Griffith
City of Gold Conference, February 2005
Dubai Gold Receipt (DGR)
 February 2005
Dubai Gold Receipt (DGR)
 April 2006:
• Adopted by DGCX as delivery mechanism.
• Delivery successfully completed for first two gold
futures contracts on DGCX.
• Silver introduced.
• 64 members
DGR Members
Security Beneficiaries:
Originators (Most active members)
ABN AMRO Bank
Alankit Global Resources DMCC
Abu Dhabi Commercial bank
Alukkas Jewellers
Dubai Bank
ARY Traders
HSBC Bank Middle East
Barjeel Geojit Securities LLC
Mashreqbank
Bin Sabt Jewellery
National Bank of Dubai
Century Financial Brokers LLC
National Bank of Fujairah
Continental Metals & Commodities DMCC
Standard Bank
Standard Chartered Bank
Union National Bank
Issuers:
Al Ghaith
Al Ghurair Giga Gold
Brinks Global Services
Emirates Gold
Securicor International Valuables Transport Ltd.
Transguard
Collateral Managers / Inspectors (CMI)
Alex Stewart
BSI
GeoChem
SGS
Damas
Deepu Jewellers
Deutsche Bank
European Commodities DMCC
Global Commodities DMCC
Gold & Commodities Investments DMCC
Kaloti
Lakhoo
Peekay Intermark Limited
Peninsular Middle East DMCC
Trust Securities DMCC
Vinayaka Overseas DMCC
Yusuf Nonoo Jewellers
Another 24 companies
Gold Sukuk dmcc
 February 2005
Gold Sukuk dmcc
 April 2006
• Sharia compliant financing arrangements concluded
• “Road Shows” in London, Switzerland, Kuala Lumpur, Singapore,
and major GCC destinations
• Closed in May 2005 well over-subscribed
• Listed on the DFM & Luxembourg Stock Exchanges
• DMCC & issue were rated “A” stable by Standard & Poors
• Pricing of 6-month LIBOR + 0.60%
Gold Sukuk
 Geographic Distribution
Asia
41%
Middle
East
44%
Europe
15%
Dubai Good Delivery
 February 2005
Dubai Good Delivery
 April 2006:
• Gold, 14 approved global refiners
• Silver introduced in January 2006; so far 10
approved refiners
• Used as delivery standard for DGCX gold & silver
contracts; 2 deliveries already completed
DGD Approved Gold Refiners
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AGR Matthey, Australia
Argor Heraeus, Switzerland
Emirates Gold, Dubai- UAE
Heraeus Limited, Hong Kong
Johnson Matthey, Hong Kong
Johnson Matthey Inc., USA
Matsuda Sangyo, Japan
Metalor Technologies, Switzerland
Musuku, South Africa
PAMP, Switzerland
PT Antam Tbk, Indonesia
Rand Refinery, South Africa
Tanaka Kikinzoku, Japan
Valcambi, Switzerland
DGD Approved Silver Refiners
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KCM SA, Bulgaria
Johnson Matthey Inc., USA
Johnson Matthey Ltd, Canada
Matsuda Sangyo, Japan
Metalor Technologies, Switzerland
Mat-Mex Penoles, Mexico
PAMP, Switzerland
Rand Refinery, South Africa
Sumitomo Metal Mining, Japan
Tanaka Kikinzoku, Japan
Dubai Gold & Commodities Exchange
DGCX
 February 2005
DGCX - Milestones
May 2005
Regulatory arrangements with Emirates Securities & Commodities
Authority (ESCA) finalized
June 2005
Exchange by-laws finalized
Clearing banks appointed (HSBC and NBD)
DGCX invited applications for membership
July 2005
Membership road-shows in Middle East, Europe & Indian
Subcontinent
Vaults & Refiners approved
August 2005
Applications received and initial memberships granted
Trading systems and networks commissioned
September 2005
Members Training started
October 2005
Online certification course introduced
Mock trading commenced for members
Dubai Commodities Clearing Corporation formed
November 2005
Signed MOU with CBOT
November 21, 2005
H.H. Sheikh Mohammad Bin Rashid Al Maktoum, Vice President
and Prime Minister of the UAE and Ruler of Dubai inaugurated
DGCX
November 22, 2005
DGCX commenced live trading – gold futures
March 2006
Trading in silver futures commenced
Dubai Gold & Commodities Exchange
 The launch, November 2005
DGCX – Prominent Overseas Members
 Deutsche Bank *
 Bank of Nova Scotia (Mocatta) *
 Standard Bank Plc
 Mitsui Precious Metals
 Man Group
 Goldas
 Just approved:
HSBC *
Number of Contracts (Thousands)
DGCX - Volumes
70
60
50
40
30
20
10
0
Nov-05
Dec-05
Jan-06
Feb-06
Mar-06
Apr-06
(Pro rata
month to
date)
DGCX - Future Plans
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Global Expansion of membership base
Further industry training
Joining hands with other major exchanges
Extension of DGCX products
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Currencies futures Due May/June
Steel futures Due September
Marine Fuel Oil Due September
Gold options Due October/November
Cotton Work in progress
Freight Rates Work in progress
Pulses Work in progress
Others as per market demand
Dubai Multi Commodities Centre (DMCC)
Number of Registered Companies
800
600
400
200
0
December 2003
February 2005
April 2006
25
263
735
“Dubai has an impressive history in the
international gold market but the future is
ever more exciting”
3rd City of Gold Conference, February 2005
“In the Dubai gold market the future is
today. Make the most of this golden
opportunity”
4th City of Gold Conference, April 2006
Colin Griffith