LeapXpert’s Role in Glencore’s Cutting-Edge Market Surveillance Framework and Report

In the dynamic world of commodities trading, robust surveillance frameworks are essential for maintaining market integrity and compliance. At LeapXpert, we are honored to have been included in Glencore’s comprehensive 2023 Market Surveillance report, which was recently published.

The report showcases our commitment to excellence and innovation in communications management, capture, and surveillance.

About Glencore

Glencore is one of the world’s largest global diversified natural resource companies and a major producer and marketer of more than 60 commodities that advance everyday life.

Founded in the 1970s as a trading company, we have grown to become a major producer and marketer of commodities with around 150,000 employees and contractors and a strong footprint in over 35 countries in both established and emerging regions for natural resources.

Glencore’s Vision for Market Surveillance

According to 2023 Ethics and Compliance Report: Energising today Advancing tomorrow, which was published recently, 2023 was a landmark year for the company’s Market Surveillance framework, focusing on the enhancement of the company’s compliance program overall, and specifically for its surveillance systems and controls (see page 87).

The company’s efforts were pivotal in preparing for significant advancements in surveillance capabilities, laying the groundwork for the implementation of cutting-edge systems and developing bespoke tools tailored to their unique operational needs.

For example, a key highlight of this year was the successful deployment of Scila, Glencore’s advanced trade surveillance system, which became operational in Q3 2023.

Enhancing Communication Surveillance with LeapXpert

In the realm of communication surveillance, Glencore made significant strides by selecting Behavox as its communications surveillance system, with a reported planned roll-out in Q2 2024.

Behavox and LeapXpert have been partners since 2022.

When the partnership was announced, Nabeel Ebrahim, CRO at Behavox commented:

“We have seen time and time again that hope is not a strategy – just waiting for regulatory action has meant that firms are not proactively monitoring for risks present in WhatsApp and other IM platforms. With LeapXpert, we are looking to provide our customers with an instant message capture solution that has been successfully implemented in the largest banks and successfully passed the regulatory inspection”. 

 
According to the report, the selection was preceded by an extensive data protection impact assessment, ensuring compliance with stringent data protection requirements. This preparatory phase facilitated the smooth technical implementation of Behavox, enabling Glencore to enhance its capability to monitor all in-scope communications comprehensively.

A crucial component of this enhanced surveillance strategy was the identification of LeapXpert as the market leader in facilitating and capturing messaging across various channels:

“Alongside our other strategic advancements, we identified LeapXpert as the most suitable system for mobile communications capture. Once implementation is concluded, LeapXpert will integrate into Behavox, enabling a cohesive surveillance strategy across diverse communication channels.”

This integration reflects our shared commitment to providing comprehensive and compliant surveillance solutions tailored to the specific needs of commodities trading.

Avi Pardo, co-founder and CBO of LeapXpert, remarked on this significant collaboration:

“We are proud to partner with Glencore, a leader in commodities trading and a known innovator in compliance within that sector. Our collaboration underscores LeapXpert’s dedication to addressing the unique challenges of commodities trading and reinforcing market integrity through our leading Digital Communications Governance & Archiving solutions, which enable the responsible use of messaging and voice channels.”

Lawrence Hughes Head of Market Conduct at Glencore summarized 2023:

We have continued to build out our Market Conduct Programme to demonstrate our commitment to, and compliance with, market conduct laws…Enhancements continue to be made across all areas of the programme including risk assessments, training and surveillance. In the latter we have made major progress, by implementing multiple trade surveillance scenarios in Scila, commencing the implementation of Behavox to monitor electronic communications, and internally developing an enhanced tool to monitor for benchmark manipulation.”

Looking Ahead

2023 was incredibly important for the program. As Glencore’s Head of Surveillance and Monitoring, Justin Nathan, aptly stated:

“Our 2023 journey at Glencore marks a significant milestone in our continuous pursuit of surveillance excellence.”

The report continues:

“In summary, 2023 has been one of foundational progress for the Market Surveillance function, underscored by the successful deployment of Scila and the bespoke development of Falcon for benchmark surveillance. These achievements, alongside preparatory steps for the roll-out of Behavox and integration of LeapXpert, have significantly advanced our surveillance capabilities. Looking forward to 2024, we are committed to building on this progress, continuously enhancing our practices to meet dynamic industry standards and regulatory expectations.”

In the spirit of energizing today and advancing tomorrow, we remain committed to providing innovative and effective surveillance solutions that meet the evolving needs of the commodities trading sector. Our partnership with Glencore is a testament to this commitment, and we are proud to be part of their journey towards achieving surveillance excellence.

Looking forward to 2024, we at LeapXpert are excited to continue our collaboration with Glencore, building on the progress made and continuously enhancing our practices to meet dynamic industry standards and regulatory expectations.

Our dedication to pioneering surveillance frameworks not only safeguards market integrity but also sets a benchmark for the industry, paving the way for future advancements in market surveillance.