Seasoned Commodity Futures and Options specialist, Avery Putter has advanced and delivered again and again over the duration of his career. Acquiring his start in the early fall of 1992, right after graduating high school, Avery was welcomed by a personal friend of his father to visit the futures exchange trading floor located in the original World Trade Center. It was love at first site as Avery remembers:
"I recall the day as though it were yesterday. I was still just a kid and I was extremely eager to have the chance just to see the exchange trading floor. Whilst the elevator doorways opened, I heard the thunder originating from the trading floor. It was the sound of traders transacting in commodity futures contracts. When I strolled onto the floor, I knew this was my destiny. I wanted more than anything to be a part of it. That first time strolling onto that floor was one of the best encounters of my life."
Avery started working on the exchange floor that year as a runner. Over a short time his work ethic and determination to be successful began to pay off. In 1996, Avery Putter purchased a seat on the New York Cotton Exchange. He was now a member and broker on the exchange. Having high expectations of himself and the relenting desire to achieve, Avery pushed forward and became a major player inside the orange juice and cotton markets over the subsequent 4 years.
Then, catastrophe struck on Sep 11, 2001. With the terrorist assault on the World Trade Center, Avery’s life as he knew it had been altered immediately. He quickly found himself in recovery mode. The exchange was nonexistent due to the horrific attacks that occurred. Due to these event, the exchange trading floor had been temporarily located in a recovery site in Long Island City, NY. Even though the exchange’s future looked exceptionally grim at the time, Avery opened his own brokerage firm on the exchange, Putter Trading Corp. Following a year of adjustment and some hardship, the exchange floor was finally relocated to its new home in The New York Mercantile Building. The historic exchange The New York Board of Trade was once again fully open for business. Avery proceeded with his triumphs of old and the ensuing 7 years had been a tremendous success.
Although things were on the upswing, major change was on the horizon and the future of The NYBOT was in unclear. The imminent acquisition of The New York Board of Trade (NYBOT) by The Intercontinental Exchange (ICE) drew near. All of the exchange members including Avery Putter did not foresee the change occurring so speedily. We were told not be concerned about (ICE) transitioning our futures markets to an electronic platform, as the trading pits can coexist side by side. Unfortunately there was a precondition we tried not to think about. Once the volume on the electronic platform exceeded a certain percentage of the business, (ICE) reserved the right to close the trading pits as they see fit. Sure enough in 2008 our markets went fully electronic and with it the end of an era. Countless extraordinary individuals, including Avery were out of business. Once again Avery needed to reinvent himself with a fresh start.
Be that as it may, in 2009 Avery discovered the eventual fate of his business. Avery's good friend from the (NYMEX) floor persuaded him to come see what he was doing. . After working with his friend for 7 months brokering natural gas options (OTC) in an office via instant message, Avery seized the opportunity to learn precious lessons about brokering futures and options off the floor. It was all very clear to Avery, as he knew the eventual fate of the business. It would be only a short while before he would be brokering soft commodity options using these new methods.
In July 2010, all of his hard work and confidence in his vision came full circle. Avery Putter was acquired by Spectron Energy Inc. Spectron had a strong understanding of Avery’s 18 years of commodity experience, and his abilities in brokering energy products away from the trading floor. Avery persuaded Spectron that opening a floor operation for options on the ICE floor, would place them in a position to be competitive in the space. Spectron concurred and ask Avery to be their leader in this new venture. It wasn’t long after that, Avery was back on the floor brokering soft commodity options pre-negotiated as he did in the energy sector. It was an awesome fit for both Avery and Spectron.
September of that same year the floor operation for Spectron was authoritatively propelled and Avery Putter executed 15,000 contracts his first month. He had another crushing month in February of 2011 executing 35,000 contracts. With the development of trade principles and a continually developing client base, Avery effectively brokered option contracts pre-negotiated. All that Avery had embarked to accomplish was working out as expected. Transformative styles, can be seen as a threat by others which is often the case. As in Avery's situation his expertise were looked upon disapprovingly by some. In 2012 (ICE) closed the options pit’s for good. This time Avery was prepared for the change. Avery Putter decided to part ways with Spectron as other opportunities presented themselves.
In 2013, Avery joined Sweet Futures 1, LLC. Avery Putter, due to his expertise now had his sights on offering execution in livestock option markets. At the time CME has rules in place allowing for these contracts to be pre-negotiated. As I did on the ICE exchange I used the skills I have learned to offer clients a new and innovative way to execute livestock options. Ian Sweet’s knowledge of the livestock industry, combined with Avery’s understanding of brokering options off the floor was a beautiful fit. As he has in the past, once again Avery Putter is pioneering offering execution like no other broker.
BITCOINS ARE A COMMODITY - WHEN YOU HAVE A GREAT IDEA, GO FOR IT EVEN IF IT SOUNDS CRAZY OR NOT REALISTIC.
"Bitcoin Is Officially a Commodity, According to U.S. Regulator " 9/17/2105
I decided today I wanted to write a blog entry. Its been a while since my last entry and I was thinking of something interesting to write about. I thought I would talk about a topic I am familiar with which is commodity markets. I was thinking about discussing how the major decline in commodity prices have been caused by a strong US Dollar, weakness across global currency's, the slowing growth in China and other counties around the world; but we here this everyday so why would you want to here it again. From talking to many of the clients I deal with who are actual producers, I have a different take. I believe a major factor you don't here about in the mainstream news is due to more of an over supply of commodities. For years we heard about the growth story in China and how global demand for commodities will be on the rise. I would think growers, drillers, miners, and all producers of commodities would have been planning for this growth. They planned themselves right into a glut. The over supply, and the global currency story in my opinion will continue to drag commodity prices lower in the near future. When thinking about discussing all this in a blog post I didn't want to bore anyone. We here the same story everyday.
I was on the internet and I saw a mention about Bitcoin. "Bitcoin Is Officially a Commodity, According to U.S. Regulator" 9/17/2015. Read more of this Bloomberg article by clicking link. After reading the article I was very disappointed. It was just two years earlier I was discussing an idea that I thought could revolutionize the Bitcoin industry and everyone thought I was crazy. I remember I wrote an email back in December 2013 to an individual. In this email I wrote "Bitcoins are a commodity. So like any other commodity or currency contract they are going to be priced based on supply and demand, speculation, and in Bitcoins case if it becomes viable as a risk tool across all currency classes." Sounds Crazy right? The CFTC doesn't seem its so crazy and they officially announced "Bitcoin is a Commodity"
Throughout my career in the commodity industry I have more than once been faced with adversity. In 2008 when the futures pits closed most lost there livelihoods. Instead of accepting my career and everything I worked so hard for over the past 16 years was lost, it motivated me more than anything to figure out what direction the industry was going in, and what service can I provide that will add value. I figured it out! How I figured it out, and how I became first broker to start pre-negotiating options on the ICE Exchange is a whole totally different story. Like the Bitcoin idea, I was told I was wrong in 2009 when I spoke about how commodity option markets would all be brokered via pre-execution communication and be cleared electronically on the exchange or executed as a block trade. I couldn't have been more correct about how our commodity markets evolved.
I just gave an example of something I felt passionate about and something I believed in. It started as an Idea but the more I educated myself and learned to broker energy (OTC) the clearer the idea became, and the more I believed I was on the write track. Others didn't see it that way, but I followed through and that's what you should always do. In the case of my Bitcoin idea as I mention earlier it freaked me out when I read that Bloomberg article. I was actually able to dig up one of the emails I wrote to someone discussing the idea. I thought I would share the email in this blog. and you the reader can come to your own conclusion. Was this a good idea at the time? Was it crazy? Even if I was right it would have been a huge undertaking to get off the ground. Well never know though because I didn't try.
Well this may not be the most interesting blog post but I hope it offers some people hope or motivates someone not to go with the crowd but to be original and think outside the box. Don't let other peoples opinions sway yours. If you believe in something go for it. Right now I have an Idea that I really think is going to be a tremendous success. Unlike Bitcoin this idea I am following through on. So stay tuned! The Best is yet to come!
The names of people and things in the below email are blacked out for this post. The same with the image below. I am posting this to document the date this email was written.
Avery Putter with Sweet Futures welcome’s you to experience an innovative and cutting-edge approach brokering livestock options. Whether you’re a commercial hedger, financial institution, or pure speculator, Avery Putter will add value and experience needed to navigate these volatile markets.
Avery Putter is a neutral intermediary broker and as such never takes a proprietary position in the markets he covers. With more than two decades of execution experience, Avery operates discretely between buyers and sellers to achieve the best possible price in the marketplace. The relationships Avery he cultivated with liquidity providers has been very productive and valuable. These relationships provide him the ability to offer liquidity, better price discovery, and improved transparency in the marketplace. Avery’s ability to provide market participants liquidity and pricing not accessible on the screen, attributes to the added value he provides.
With respect to all livestock option markets listed on the (CME), these options can be pre-negotiated and brokered off the exchange floor. These trades involve Pre-Execution Communication and must be executed in accordance with CME rule 539.C. Unlike a Block Trade, these trades do not require a minimum threshold/quantity. These trades are not posted in CME ClearPort like Block Trades. They are submitted by the broker as an RFQ/RFC and cleared electronically on CME Globex.
For more information on how these contracts are brokered you can contact Avery Putter or feel free to reference this CME Market Regulation Advisory Notice.
The risk of trading futures and options can be substantial. Trading foreign exchange carries a high degree of risk, and may not be suitable for all investors. All information, publications, and reports, including this specific material, used and distributed bySweet Futures 1, LLC shall be construed as a solicitation. Sweet Futures 1 does not distribute research reports, employ research analysts, or maintain a research department as defined in CFTC Regulation 1.71.
Avery Putter would like to welcome you to his website. Discover more about Avery and his profession that started in New York over two decades ago. the field of commodity futures on his about page.
Thank you for visiting my site. Remember you can always learn more by stopping back on the blog.
Avery Putter has 20+ years experience in the commodity futures industry. Avery is hard working individual who is passionate about his career. His goal has always been to offer a value added service to his clients..
Copyright © Avery Putter · 2015
The risk of trading futures and options can be substantial. Trading foreign exchange carries a high degree of risk, and may not be suitable for all investors. All information, publications, and reports, including this specific material, used and distributed by Sweet Futures 1, LLC shall be construed as a solicitation. Sweet Futures 1 does not distribute research reports, employ research analysts, or maintain a research department as defined in CFTC Regulation 1.71. This website contains information obtained from sources believed to be reliable, but its accuracy is not guaranteed by Sweet Futures 1. Past performance is not necessarily indicative of future results.