GDT Events Oversight Board is an independent oversight body established with an objective to ensure that the trading platform is operated and developed in accordance with the Guiding Principles and to represent the interests of the parties trading on the GDT Events platform.
The Board comprises an independent chairperson and a balanced representation of GDT participants and financial market members. Oversight Board members meet several times per year to monitor GDT’s compliance with appropriate governance practices and to vote on any proposed changes to the GDT Trading Event Rules.
Bill Shields, B Econ (Hons) Qld, M Ec ANU, MAICD Aus
Reappointed in March 2018 for a further three-year term as Chairman, Mr Shields has extensive financial markets and governance experience and brings a deep understanding of commodity markets from his involvement in the electricity trading platforms in Australia, New Zealand and Singapore. Mr Shields understands regulation and market development having held senior international economist and director roles. Mr Bill Shields is a former director on the Capital Markets Board of the Queensland Treasury Corporation where he also served on the Funding and Markets Committee and as chair of the Accounts & Audit Committee. Previously he held senior economist and director roles at companies such as Macquarie Bank, Reserve Bank of Australia and the International Monetary Fund and the Treasury in Canberra.
The Chairperson is an independent third party who is not a current representative or affiliate of GDT, the Trading Manager, any seller, bidder or financial member.
The stakeholder members of the GDT Events Oversight Board comprise three GDT bidder-members, three GDT seller members, and three financial market members.
The latter reflects the role of GDT prices in the NZX dairy derivatives market.
Appointments are for three years and are based on trading size subject to ensuring an appropriate balance of representation across regions, product categories and participant type. The current members shown in the diagram below were confirmed in January 2018.
Oversight Board Members
Economist and non-Executive Director
Burt Lewis Ingredients LLC
Amul (Gurjarat Co-operative Milk Marketing Federation Limited)
Chief Operating Officer
INTL FCStone Inc.
Vice President, Foods Group
Chief Executive Officer
Arla Foods amba
Senior Vice President
Head of Derivatives
Inner Mongolia Mengniu Dairy Group Co.Ltd
Vice President of Strategic Management
Fonterra Co-Operative Group Limited
Director Ingredients Sales and Operations Planning
OM Financial Limited
Director of Institutional Commodities
Role of the GDT Events Oversight Board
The primary objective of the GDT Events Oversight Board is to ensure the trading platform is operated and developed in accordance with the Guiding Principles listed in the GDT Trading Event Rules.
The role of the Board includes:
GDT Governance Structure
GDT’s governance structure, illustrated in the diagram below, is designed to provide compliance rigour and effective representation for dairy industry seller, buyers and related financial markets.
Rules governing the GDT Events Oversight Board
The GDT Events Oversight Board is established under Part B of the GDT Trading Event Rules, with rules relating to the selection of members and conduct of meetings detailed in the Charter for the GDT Events Oversight Board and Rulings Panel.
The Charter requires that members act in the best interests of the GDT trading platform, and that they observe competition law requirements. These requirements prohibit members from having access to, or discussing with other members, any non-public information relating to Trading Events.
Members are prohibited from discussing commercially sensitive or confidential information relating to a member’s business or any proposal that would unfairly affect any bidder or seller. The GDT Events Oversight Board members never receive any non-public information that will give them an advantage over other participants in Trading Events.
The GDT Events Oversight Board adopted the following Governance Principles to ensure that the conduct of Trading Events is consistent with best practice governance for providers of market-based reference prices.
KPMG completed the inaugural independent limited assurance review in March 2018, and issued a clean review conclusion in regard to Global Dairy Trade’s compliance with the governance principles for its GDT Events platform.
Minutes of GDT Events Oversight Board meetings
The discussions and decisions made by the GDT Events Oversight Board are published following each Board meeting. The minutes of each meeting are provided in this section.