with an extensive network, access to capital and deep knowledge of the Asian market
Our profound expertise comprises trading various kinds of commodities on a wide range of markets globally as well as private financing. Possessing both private equity and trading mindsets allows us to use the strength of balance sheets long-term as well as better appreciate the nuances of the value of optionality associated with flexible assets.
We look at the deals through a broader lens assessing all associated structural risks. In a nutshell, our activities include purchasing the commodities on our own at the best price possible, searching for suppliers and buyers within the framework of the commodities deal and selling through our partner network retaining some part as a service fee.
Industry on the rise
The commodity trading industry has enjoyed an upward trend over the past five years. According to the McKinsey & Company 2023 report, the industry’s prospects look excellent for the years ahead. Commodity trading value pools have grown substantially, almost doubling from $27 billion to an estimated $52 billion of EBIT, and its overall value will continue to grow. The real advantages to commodity trading are considered to be differentiated exposures from the stock market and the potential for inflation protection.
About us
Versa Markets is a Hong Kong based independent trading and advising company leveraging 25 years of experience and extensive knowledge in financial markets to help companies and individuals run their operations smoothly in regards to commodity trading.
Our key areas of focus include crude oil, petroleum products, coal, metals, agricultural commodities, along with trading in machinery and equipment, as well as trade finance and risk assessment and structuring.
Our approach consists of the following integral elements:
01
Customer centricity
We apply customer-backed perspectives to capture an advantage in originating and tailoring high-quality products, gaining insight into product differentials and understanding value chain bottlenecks.
02
Diversified portfolios
This enables us to take on the long-term merchant risk associated with asset investments while participating in the short-term markets.
03
Operating model agility
We first define strategic ambitions and then make targeted investments to achieve the right mix of efficiency and agility to enable data-driven trading.
What we do
trading with machinery and equipment
commodity derivatives trading for hedging purposes
trade finance
risk structuring and assessment
commodity trading
agricultural commodity trading
Leadership
“
Contemporary commodities trading and trade finance in general is a complex field that requires an established pool of partners, access to different tools to finance the deals and a deep understanding of market dynamics as well as a holistic approach to assessing risks. Our ultimate goal at Versa Markets is to eventually make commodity markets more efficient
”
Yaojing Zhu
managing director, investor
Professional Experience
A seasoned investor with over 25 years of experience in the financial markets. Leveraged deep understanding of the Chinese markets to make strategic investments in both public and private sectors, consistently generating substantial returns. Diversified investments across a variety of asset classes such as warrants, stocks, funds, real estate and digital assets. Identified and capitalised on lucrative opportunities in Shanghai real estate in the early 2000s, achieving returns up to ten-fold. Gained in-depth knowledge of commodities trading, laying the groundwork for launching a new business in this area. Utilised academic research institution's flexibility to engage in personal investments and learn about market dynamics extensively.
LeadershipContact
