The Vitae Trading Company limited title= Physical Commodities: Reimagined
The Future of Physical Commodities Trading DISCOVER THE POSSIBILITIES

About

 

The world of commodities has undergone significant headwinds in the last few years. The asset class itself has extremely interesting features being non-directional, self-liquidating, un-correlated to all major financial markets, well diversified, asset backed and historically low defaults (0.02bps ref ICC Report 2017). However, the financing of commodities has suffered a wave of regulatory changes stemming from the banking system. A sector which is extremely reliant on this industry to operate, now has significant capital constraints affecting the distribution and economics of physical transactions.

A holistic enterprise, born out of physical commodity trading

Who We Are

 

Born out of physical commodity trading, The Vitae Trading Company limited is a holistic enterprise that utilises various pillars of expertise to interact in the wider financial system in a unique way, without reliance solely on the banking sector. This gives The Vitae Trading Company an edge in its interaction not only in the physical trading market, but also wider capital markets in creating investible securities with a combination of different features. The Vitae Trading Company can also interface with various types of other market participants, of multiple sectors, in wider risk management or structuring.

The Vitae Trading Company can also interface with various types of other market participants of multiple sectors in wider risk management or structuring.

What We Do

Re-Packaging / Re-Distribution of Risk 

 

The Vitae Trading Company has the ability to restructure, repackage and tranche physical transactions into financial securities.

Physical Operational Risk Management

 

The Vitae Trading Company can be used to manage physical operational risks in transaction chains including step in / dilution of physical assets.

Escrows

 

In essence, escrow serves as a trusted intermediary that safeguards funds until both the buyer and seller fulfill their obligations as per the transaction agreement. This reduces the risk of fraud. Both parties commit to a performance guarantee fee, paid to the escrow company. If the seller delivers as agreed, they receive the funds, and the buyer pays any remaining balance. If not, the buyer receives the funds. The buyer's fee is deducted from the total product cost.

Derivative Risk Management

 

Where price risk is needed to be managed, The Vitae Trading Company can both manage these through physical transactions or derivative instruments.

Financial Structuring

 

The Vitae Trading Company can be engaged to put together streamlined structures for financing purposes including using our own capital network.

What We Do

Re-Packaging / Re-Distribution of Risk 

 

The Vitae Trading Company has the ability to restructure, repackage and tranche physical transactions into financial securities.

Physical Operational Risk Management

 

The Vitae Trading Company can be used to manage physical operational risks in transaction chains including step in / dilution of physical assets.

Escrows

 

Escrows In essence, escrow serves as a trusted intermediary that safeguards funds until both the buyer and seller fulfill their obligations as per the transaction agreement. This reduces the risk of fraud. Both parties commit to a performance guarantee fee, paid to the escrow company. If the seller delivers as agreed, they receive the funds, and the buyer pays any remaining balance. If not, the buyer receives the funds. The buyer's fee is deducted from the total product cost.

Derivative Risk Management

 

Where price risk is needed to be managed, The Vitae Trading Company can both manage these through physical transactions or derivative instruments.

Financial Structuring

 

The Vitae Trading Company can be engaged to put together streamlined structures for financing purposes including using our own capital network.

Contact



    28 Favart Road, Fulham,

    London,  SW6 4AX

    +44 (0) 79 0269 4622