The London Platinum and Palladium Market: A Brief History and Its Role Today

Platinum and palladium might not get as much attention as gold or silver, but they’re essential to industries ranging from jewelry to dentistry to automotive manufacturing. But how do these metals get their global prices, and who sets the standards for their trade?

The answer lies with the London Platinum and Palladium Market (LPPM), the world’s leading authority for platinum and palladium trading. If your business handles these precious metals, understanding the LPPM can help you stay competitive and informed. You can stay up to date on the daily Fixing from the LPPM by signing up for a free business account with Manhattan Gold & Silver.

What is the London Platinum and Palladium Market?

The LPPM is the central hub for the global trade of platinum and palladium. It brings together refiners, banks, industrial users, and other key players to establish pricing benchmarks, maintain Good Delivery standards, and ensure that the market operates with transparency and integrity.

Think of it as the platinum and palladium counterpart to the gold- and silver-focused London Bullion Market Association (LBMA), but with its own unique history and processes.

A Brief History of the LPPM

While platinum and palladium have been traded in London for decades, it wasn’t until 1987 that the London Platinum and Palladium Market was formally established. The goal was to create structure and oversight for these important metals, ensuring fair trading practices and reliable pricing in an increasingly global market.

Over the years, the LPPM has worked closely with refiners, traders, and industrial buyers to maintain its position as the global authority for platinum group metals (PGMs), setting the standards for their trading and refining.

LPPM vs. LBMA – What’s the Difference?

At first glance, the LPPM and London Bullion Market Association (LBMA) seem similar; they both regulate precious metals trading in London and set global pricing benchmarks. There are some key differences to be aware of:

• LBMA: Primarily focused on gold and silver, the LBMA sets Good Delivery standards and oversees the London Gold and Silver Fixing, which serve as the primary global benchmarks for those metals.
  
• LPPM: Dedicated exclusively to platinum and palladium, the LPPM sets its own daily benchmark pricing (the “Fixing”) and Good Delivery standards for these metals, ensuring consistency and trust across the market.
  

While the LBMA and LPPM complement one another, they each serve different segments of the precious metals market ultimately ensuring fair, transparent pricing across key precious metals.

The London Platinum and Palladium Fixing

One of the LPPM’s most important functions is the daily Fixing, a process where prices for platinum and palladium are established through a consensus of market participants. These benchmark prices are used worldwide for trading, manufacturing, and even scrap valuations.

For industries buying, selling, and hedging platinum and palladium, like jewelry, dentistry, and automotive manufacturing, this benchmark provides a trusted reference point.

Why It Matters to Jewelers, Dentists, and Pawnbrokers

If you’re a jeweler, platinum is often your metal of choice for luxury settings, wedding bands, and custom designs.

If you’re a dentist, palladium and platinum alloys are staples in crowns and restorations.

If you’re a pawnbroker, knowing the real-time value of platinum and palladium helps you accurately appraise and resell items.

For all of these businesses, the LPPM’s benchmark pricing provides a trusted foundation for valuations, helping you stay competitive and confident in your transactions.

How Our Refinery Helps You

At Manhattan Gold & Silver, we help jewelers, dentists, and pawnbrokers unlock the full value of their platinum and palladium holdings.

We buy:

• Scrap jewelry
  
• Bench sweepings
  
• Dental alloys
  
• Other platinum and palladium scrap
  

And we make it easy to reinvest that value back into your business. Through our business portal, you can:

• Access real-time and historical precious metal prices
  
• Get instant quotes online for your scrap
  
• Make smarter decisions about when to sell or buy

The London Platinum and Palladium Market has been the cornerstone of global platinum and palladium trading since 1987, providing structure, standards, and pricing transparency for industries worldwide.

At our family-owned Manhattan refinery, we bring that same spirit of transparency and trust to every transaction, helping you turn scrap into opportunity.

Get More From Your Platinum and Palladium Scrap

Our Manhattan refinery gives you access to real-time and historical pricing and instant online quotes.

Create your free business account today to get started and make the most of every gram of your precious metals.

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