The QVMAC, what is its primary role?
I
would contend that the primary role of the QVMAC is not the protection
of any individuals or groups ( be they traders, management or others )
but to protect THE MARKET and provide valuable contributions to discussions concerning current and future directions for the market.
Trader
insights are important, actually invaluable because as they come from a
trader perspective they are essential in providing a more complete
picture as to what the true interests of The Market might be. Without
the viewpoints and insights of traders some very questionable decisions
would probably be made.
These
insights and the advice provided however will not always align with
individual or group opinions or interests, whether they be traders or
others and may at times conflict directly or indirectly with these group
or individual interests.
( Since the members of the QVMAC have the advantage of being privy to processes and discussions which are not generally accessible
to traders and others they are rightly expected to give much deeper
thought and analysis to the problems and difficulties confronting the
market and as a result need to be able and willing to see and discuss
issues from a broad perspective. This approach is essential if it is to
provide sound advice that can be taken seriously and thus truly assist
and be part of the decision making process. )
Fundamentally
the logic here is that QVMAC members, as individuals, need to consider
individual and to some extent collective business interests as only one
of the elements under consideration when involved in discussions
regarding the market.
Trader
interests / QVM Pty Ltd company interests / CoM interests will often be
relegated to second, third or at times fourth place depending on the
issue under discussion thus showing a clear understanding that the
primary goal of the QVMAC is to protect and ensure the betterment,
progress and future of THE MARKET ( all other entities come after that
).
(
Clearly in many instances an initiative that ‘harms’ traders or the
company will often impact negatively on The Market so the advice given
will rightly reflect that. In other cases the best outcome for the
market may necessitate some ‘short term / long term pain’ for individual
or groups of traders ( or the company / CoM ) and the role of the QVMAC
would not necessarily be to prevent that, but to ensure that all
efforts are made to minimise that impact and ensure that the decision is
implemented in the most trader friendly way possible. )
The
same basic principles applies to all at the market. Just as it is not
the role of management to ‘protect’ individual or group interests within
management when they conflict with the interests of The Market so it is
with trader members of the QVMAC to do likewise when dealing with
trader issues.
To
do otherwise, that is to come into meetings with only trader interests
at heart with the intent of protecting trader interests at all costs
would be as detrimental to The Market as QVM Pty Ltd engaging in
meetings with only their bottom line or the advantage of the company in
mind ( The same is true for the Board and for CoM ).
This type of approach would make all parties potentially guilty of ‘conflict of interest’.
For
the Queen Victoria Market Advisory Committee to be truly effective, for
its advice to be taken seriously and to carry true weight, it must
provide valuable unbiased advice and insights that go beyond the
individual or collective interests of any and all groups associated with
the market. If it is unable to do that it will ultimately fail as an
advisory committee and will continue to be at loggerheads and be locked
into a negative adversarial relationship and position on many if not
most issues under discussion.