Fastmarkets successfully completes IOSCO assurance review for its FOEX PIX pulp and paper pricing division
Fastmarkets, a leading source of pricing data for global commodity markets, is delighted to announce the successful completion of an external assurance review of its Helsinki-based pulp and paper pricing unit Fastmarkets FOEX. This milestone marks the first time the business was reviewed and confirms its alignment to the standards defined by the International Organization of Securities Commission (IOSCO) within the Principles for Oil Price Reporting Agencies (PRAs).
Professional services firm BDO carried out the independent assurance review of four of the business’ key trademarked PIX indices in pulp and recovered paper. On March 30, 2020, they found that Fastmarkets’ responses were in line with the IOSCO principles for PRAs. The review process is comprehensive, examining all relevant documentation and processes to ensure their quality, integrity and adherence to stated methodologies.
“Fastmarkets is excited to add the FOEX PIX indices to the list of our prices that have successfully completed an assurance review,” Fastmarkets CEO Raju Daswani said. “The completion of an external audit of our process demonstrates our commitment to provide reliable, impartial, representative and transparent benchmarks for the market we serve to use in physical trading, risk management, analysis and planning purposes.”
The following four price indices were included in the scope of the assurance:
PIX Pulp Indices (Europe)
PIX NBSK (northern bleached softwood kraft)
PIX BHKP (bleached hardwood kraft pulp)
PIX Recovered Paper Indices (Europe)
PIX OCC 1.04 dd (old corrugated container)
PIX ONP/OMG 1.11 dd (old newspapers and magazines)
As per guidance by the European Securities and Markets Authority (ESMA), this assurance review by an independent external auditor is sufficient to demonstrate compliance with the requirements of the Benchmarks Regulation (BMR) for commodity benchmarks (paragraph 18 of Annex II). Reviews must take place at least annually.
To obtain a copy of the independent assurance report, please click here.
Fastmarkets has invested significantly in resources and technology to ensure its price-assessment process aligns with IOSCO principles. View details here.
To view Fastmarkets FOEX price methodology/specifications, please click here.