By Pratima Desai

LONDON, Aug 13 (Reuters) – Fears of sensitive information seeping through Chinese walls has resurfaced after the recent purchase of London Metal Exchange registered warehouses by a major trader, but that concern is not universal.

Motives for buying warehouses include diversifying revenue streams. Lucrative financing deals that tie metal up for long periods and the potential launch of physically-backed exchange traded products (ETPs) also require long-term storage.