Are all the oil trading jobs going to Geneva?
Geneva's preeminence in oil trading is an ominous warning of what could happen to the City if banks decide the UK tax system is too onerous.
Over the past decade the Swiss city has cemented its status as a European oil trading hub, attracting trading houses such as Gunvor, Mercuria, and Sempra Energy Trading, so that it's now on a par with London as Europe's leading oil trading centre.
The resulting cluster of oil traders and oil businesses, combined with Geneva's tax and aesthetic advantages, is proving a draw for trading desks based in London. In November, for example, Neste Oil Corporation moved its oil trading operations to Geneva in order to be nearer the action.
Similarly, when Trafigura opened a new oil and energy-derivatives hedge fund in March, it located it in Geneva, despite having oil trading operations in the City.
The exception to the Geneva rule appears to be the Noble Group, which is building a business in London and has big expansion plans according to recruiters.
"There's definitely a trend for setting up in Geneva," says one recruiter working for Noble. "Taxes are lower, and exchange rate changes make it a lot more appealing. Noble have bucked the trend."
