VPI Methodology

How the Vesper Price Index is created

Vesper collects transaction data from a network of market participants to create reliable benchmarks with a methodology designed to meet EU Benchmark Regulation (BMR) standards.

View full methodology

The 4-step process

From data collection to publication — how every VPI benchmark is created.

1

Data Collection

Vesper collects transaction prices from a network of verified market participants — buyers, sellers, traders, and brokers actively trading in the market. Contributors sign a Code of Conduct requiring genuine transactions.

Key requirements:
Verified market participants only. Completed transactions and firm quotes (not indicative pricing). Input from buyers, sellers, and traders. Code of Conduct compliance.

2

Quality Control

Inputs are validated against required specifications for each benchmark. Currencies are standardized where needed. Statistical outliers are flagged, can be checked (proof of contract can be requested), and excluded from the calculation.

Validation includes:
Product specification verification. Currency standardization. Outlier detection, verification, and exclusion.

3

Calculation

Validated inputs are processed using a manipulation-resistant calculation methodology designed to meet EU Benchmark Regulation (BMR) standards — so no single participant can influence the benchmark.

Output:
A benchmark price that reflects actual trading activity, not influenced by any single input or market participant.

4

Publication

VPI benchmarks are published the same week as collection — so you’re always working with prices that reflect current market conditions, not where the market was weeks ago.

Timing advantage:
Same-week publication vs. multi-week lags typical of traditional price reporting.

Want the full methodology?

Download the complete VPI methodology document with detailed specifications for each benchmark.

View documentation

Why this matters

Independent price discovery

Vesper is not a market participant — we don’t buy, sell, or trade. We collect from all sides of the market, so no single participant can influence the benchmark.

Designed for regulatory standards

VPI methodology was developed to meet EU Benchmark Regulation (BMR) standards — the regulatory framework for benchmarks used in financial instruments. One methodology across all products, with two grades depending on use case.

Prices that reflect this week's market

Traditional benchmarks publish weeks after collection. VPI is published the same week — so you’re working with current market conditions, not where the market was weeks ago.

Audited and documented

Multiple analysts review each benchmark before publication. An independent compliance function audits the process annually. All inputs and calculations are retained for seven years.

Two Grades, One Standard

VPI benchmarks come in two grades — both built on the same methodology, designed to meet BMR standards. The difference is in administration and regulatory oversight.
Financial-Grade

Financial-Grade

For use in regulated financial instruments and contracts requiring regulatory-grade benchmarks.

Currently available: EU Butter, EU SMP

Commercial-Grade

For operational procurement decisions. Same methodology and data standards — not subject to BMR regulatory reporting.
Financial–Grade
Commercial–Grade
Methodology
VPI standard
VPI standard
Data collection
Buyers, sellers, traders, and brokers
Buyers, sellers, traders, and brokers
Same–week publication
Yes
Yes
Quality control & outlier detection
Yes
Yes
Manipulation–resistant calculation
Yes
Yes
Independent administration
Compass Financial Technologies
Vesper
When inputs are limited
Previous price carried forward
Expert judgment or no publication
BMR regulated
Yes
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Frequently asked questions

What's the difference between financial-grade and commercial-grade VPI benchmarks?

Both use the same methodology and data collection standards. Financial-grade benchmarks (EU Butter, EU SMP) are administered by Compass Financial Technologies under EU Benchmark Regulation oversight — required for use in regulated financial instruments. Commercial-grade benchmarks apply the same methodology for operational procurement decisions, without regulatory reporting requirements.
VPI benchmarks are published on different schedules depending on market activity and needs — some are published intraday or daily, others weekly. In all cases, publication happens the same period as data collection, so you’re always working with prices that reflect current market conditions.
Financial-grade benchmarks are administered by Compass Financial Technologies, an independent benchmark administrator. Commercial-grade benchmarks are administered by Vesper using the same methodology.
For financial-grade benchmarks, the previous price is carried forward to ensure continuity for regulated instruments. For commercial-grade benchmarks, expert judgment may be applied, or no price is published if data is insufficient.
Yes. An independent compliance function audits the entire benchmark process annually, examining methodology adherence and control effectiveness. All input data, communications, and processing logs are retained for seven years.
No. VPI is Vesper’s proprietary benchmark methodology, but the platform also aggregates data from public sources (USDA, Kempten, ZuivelNL), licensed exchange data (EEX, CME), and partner data (Fastmarkets, Oilworld).
Euronext selected VPI as the underlying index for new EU dairy futures contracts (Butter and SMP) launching in 2026. This is the first time regulated European dairy futures will use independent price benchmarks.

The VPI doesn’t intend to publish the lowest or highest price in the market. Vesper is an independent benchmark facilitator that uses input from verified market participants to create benchmarks. Using our statistical methodology, we arrive at a market-representative benchmark — individual deals can be higher or lower than the VPI value, especially in volatile markets. If you have any questions or concerns about a specific benchmark price, please contact us at support@vespertool.com.

Go Deeper

For procurement teams, compliance functions, and anyone who wants to understand exactly how our benchmarks are built.

Data Sources Overview

Understand where Vesper’s commodity data comes from — public sources, licensed feeds, partner data, and VPI.
View data sources

BMR Compliance

What EU Benchmark Regulation means for Vesper’s financial-grade benchmarks and why it matters.
Learn about BMR

Vesper × Euronext

Why Europe’s leading exchange chose VPI as the underlying index for their new dairy futures.
See the partnership