Dec

8

White paper available from technology provider Trayport outlines pros and cons of carbon trading in the U.S.

Filed Under Cap and Trade, Carbon Markets, Carbon Trading 

With cap-and-trade legislation making the rounds in Senate committees, and with President Obama set to visit the United Nations Summit on Climate Change in Copenhagen this month, now might be a good time for advisers to begin reading up on the potential for carbon trading in the United States if they haven’t already.

If passed, such legislation would set the stage for a national carbon-trading system — known as cap and trade — that would allow companies to buy or sell allowances or credits.

A white paper, published by Trayport Inc., a presents the challenges and opportunities facing commodity traders, brokers, and others.

Trayport’s Trading Gateway platform carries 85% of all carbon emission credit trades in the European Union, which is far ahead of the U.S. when it comes to trading carbon credits. The platform provides access to many carbon exchanges, including BlueNext and Bayerische Boerse’s Greenmarket. Other markets accessible from Trading Gateway are EEX, NordPool ASA and ECX, as well as the over-the-counter markets offered by six interdealer brokers. In all, 50 global markets and 3,000 asset classes are available through Trading Gateway.

For a PDF copy of “Is Carbon the Next Big Thing for U.S. Business?” e-mail Trayport at: jubin.pejman@trayport.com.

Trayport announced integrations with the Depend clearing and settlement platform from Percival Software Ltd. in October. That system, which also supports deposit and registry of equities and bonds, was intended to foster seamless real-time clearing and settlement of trades.

GFI Group Inc. is the parent company of Trayport. For more information, visitTrayport online.