Platts is an independent information and services provider. It was founded in 1909 and is a leading global provider of energy, petrochemical and metals information and a premier source of benchmark price assessments for those markets. Platts has long advocated greater information transparency in oil and other energy commodity markets and has pioneered highly innovative methods of price discovery in such markets.
In today’s era of heightened public interest in price reporting organizations, Platts has endeavored to provide education on its business activities, address regulatory questions and offer recommendations. On this website, you will find a Draft Price Reporting Code for Independent Price Reporting Organizations (IPROs); Platts’ responses to recent regulatory studies; and background information about Platts, its methodology and price assessment processes.
These materials will introduce you to our perspective. We welcome yours, too. Please email us at Comments@Platts.com
Platts has collaborated on the development of a draft Price Reporting Code for IPROs (the IPRO Code). It was published April 30, 2012 and is intended to demonstrate all signatories’ commitment to the high standards of good governance required to effectively serve the markets and customers. Platts welcomes feedback on the IPRO Code. Feedback may be sent to Comments@Platts.com.
IOSCO & G20
On March 30, 2012, Platts delivered its written comments to the International Organization of Securities Commissions (IOSCO) in response to IOSCO’s consultation report "Functioning and Oversight of Oil Price Reporting Agencies." In conjunction with its written response to IOSCO, Platts President Larry Neal issued a letter expressing Platts' views to the energy industry.
Monetary Authority of Singapore (MAS)
On March 23, 2012, Platts responded to the Monetary Authority of Singapore’s (MAS) call for comments on the scope of the definition of “derivative market” within a proposed new regulation. Platts maintains that price reporting organizations using an electronic system to observe the market, such as Platts, fall outside the scope of the proposed regulation, including the definition of "derivative market."
Platts and Energy Markets
Platts is an independent information and services provider. Our role as an impartial publisher is to observe, analyze and report on the markets. We have no stake in the value of the commodities we cover. Participation in our news gathering and price assessment processes is voluntary, as is the use of our information. Our aim is to protect the integrity of our price assessment processes and to publish information that is useful to our customers and helps the markets operate with greater transparency and efficiency.
The quality of data inputs – not the quantity – is of primary importance in developing a price assessment that represents true market value. To maintain the integrity of our price assessments, we employ structured processes underpinned by rigorous, well-defined guidelines which are publically available on our website, www.platts.com
Transparency is of paramount importance to price discovery, particularly given the complexity and non-standardized nature of physical oil markets. For Platts, transparency means full disclosure of our methodologies and of the data underlying our price assessments. The transparency of Platts’ Market-On-Close oil price assessment process, including identification by company name of all submitted bids, offers and transactions, is unparalleled.
Distinctions Between LIBOR and Oil Price Reporting