Home » The fifth anniversary of the introduction of foreign traders in China’s futures market: Opening up to the outside world has steadily expanded and international influence has been further enhanced

The fifth anniversary of the introduction of foreign traders in China’s futures market: Opening up to the outside world has steadily expanded and international influence has been further enhanced

by admin

In May 2018, iron ore futures introduced overseas traders for the first time. Up to now, the number of domestic specific varieties in China’s futures market has increased to 23; in the past five years, the series of international varieties has become increasingly rich, overseas traders have actively participated, and the quality and efficiency of market operation promote. On the whole, China’s futures market has steadily expanded its opening up to the outside world, and its international influence has further increased.

A number of futures company executives told the “Securities Daily” reporter that at present, the futures market has achieved certain results in opening up to the outside world, foreign traders are gradually adapting, and the number and scale of participation are growing steadily. Based on this, futures exchanges and futures companies Major players in the market, including system adjustment and rich tools, will provide more convenience and space for overseas traders to participate.

Specific domestic varieties increased to 23

The introduction of overseas traders in iron ore futures has started the internationalization process of Chinese futures varieties, and based on the accumulation of valuable experience, it also provides guidance for the opening of more varieties to the outside world. In December 2020 and June 2021, DCE’s palm oil futures and options have successively introduced overseas traders, which has extended the range of domestic specific varieties in my country’s futures market to agricultural product futures and options; in December 2022, Douyi and Douyi 2. Soybean meal, soybean oil futures and options are also introduced to overseas traders, and DCE has 11 domestic specific varieties.

Up to now, from the perspective of the specific species sequence in the whole market, it has covered sectors such as energy and chemical industry, agricultural products and precious metals, and the number has increased to 23, including iron ore, crude oil, natural rubber, sugar, palm oil, rapeseed oil , pulp, corn, soybean meal, soybean oil, methanol, PTA, steam coal, coke, asphalt, etc. At the same time, from an institutional point of view, the futures market has also been adjusted accordingly to facilitate the better participation of foreign traders.

See also  The Historic U.S. Auto Industry Strike: What's Next as the Countdown Begins?

“China’s futures market actively promotes the interconnection with the international market, and has established cooperative relations with the futures markets of Singapore, the United Kingdom and other countries and regions, which has promoted the interconnection and cooperative development of the international futures market. It can be expected that there will be great development in the future.” Development space and potential.” Luo Mansheng, chairman of GF Futures, told the “Securities Daily” reporter that in the past five years, the degree of opening up of China’s futures market to the outside world has been greatly improved, especially the internationalization of varieties is the most obvious, and the participation of foreign traders has continued to increase. The quality of market operation has also stepped up to a new level. More importantly, with the continuous improvement of trading rules and systems, the influence and voice of China’s futures market in the international market have also increased.

Li Dabin, deputy general manager of Galaxy Futures, told reporters that the scale of my country’s commodity futures ranks among the top in the global market. Over the past five years, my country’s futures international varieties have continued to expand, attracting more and more multinational companies and other international market players to actively participate; the “Futures and Derivatives Law” provides legal support for the futures market to “go global and bring in”; With the implementation of policies and measures for RQFII participation in domestic futures and options trading, the overall opening of the futures market to the outside world has basically taken shape. my country’s futures market is further integrated with the global financial system, and the international development of the futures industry has entered the fast lane.

See also  The League puts wings and reaches 12%, FdI slips to 24 Schlein does not help the Democratic Party (17%). 5S annihilated by No Vax

International business shows results

It is understood that iron ore futures have been introduced to overseas traders for five years, and the correlation between futures and current prices has always remained at 90%. , It also conveyed the rational voice from the Chinese market to the international market. From the perspective of industry insiders, a solid institutional framework is an effective guarantee for foreign traders to participate in China’s futures market.

The reporter learned from DCE that as of now, 11 specific varieties such as iron ore futures, palm oil futures and options can be directly introduced to foreign traders to participate in trading, and 14 futures and options have been opened to qualified foreign investors. door. According to public data, the unilateral trading volume of 11 specific varieties (futures and options) last year was 1.161 billion lots, and the average daily open interest was 5.665 million lots.

As a world-leading processor and supplier of agricultural products and food ingredients, Himanshu Chaturvedi, Regional President of Olam Agriculture China and ASEAN, said that the company has already participated in the transactions of specific domestic varieties such as soybeans and soybean meal, and the pricing is based on the futures price or the difference between futures and current prices of related varieties For reference, provide customized services such as basis trade and rights-included trade for downstream large-scale listed companies, small and medium-sized traders and other types of customers, and help customers jointly improve risk management capabilities.

In addition to the effective functioning of the operation of international varieties, the international business of futures companies has also achieved good results. “The company is one of the first institutions to expand overseas markets earlier, and currently has accumulated rich customer resources in crude oil, iron ore and other futures products that are open first.” Li Dabin said that through research to promote development, it continues to promote to overseas investors The ecology, trading opportunities, rules, etc. of the domestic futures market.

See also  Local Governments Focus on Refinancing Bonds in Fourth Quarter as New Bond Issuance Slows

“After recent years of development, the company’s international business has been successfully built on the basis of QFII and RQFII. At the same time, it cooperates with the opening policy of the domestic futures market and serves foreign investors.” Luo Mansheng introduced that GF Futures is the first batch of services for QFII. One of the institutions, and the only domestic futures broker designated by many QFIIs and RQFIIs. At present, the trading volume and open interest of QFII and RQFII stock index futures of the company’s international business department are firmly in the forefront of the industry.

Disclaimer: The Securities Times strives for truthful and accurate information, and the content mentioned in the article is for reference only and does not constitute substantive investment advice, so operate at your own risk

Download the “Securities Times” official APP, or follow the official WeChat public account, you can keep abreast of stock market trends, gain insights into policy information, and seize wealth opportunities.

You may also like

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Privacy & Cookies Policy