To further improve self-regulation in the financial futures market and strengthen the investigation and handling of violations and breaches, China Financial Futures Exchange (CFFEX) released the amended Measures of China Financial Futures Exchange on Dealing with Violations and Breaches (the “...
On September 29, China Financial Futures Exchange (CFFEX) jointly held a bell ringing ceremony, to support the initiative of “Ringing the Bell for Financial Literacy” of International Organization of Securities Commissions (IOSCO) and the World Federation of Exchanges (WFE), together with Shanghai Stock Exchange and five other WFE member exchanges in China, and also with China Securities Investor Services Center and China Securities Investor Protection Fund. The purpose of the event is to promote financial literacy and raise awareness of the role of exchanges and other market infrastructures in investor education and protection. WFE CEO Nandini Sukumar joined the event remotely, and WFE Chairman, Cboe CEO Edward Tilly sent a congratulatory message.
As member of WFE and affiliate member of IOSCO, CFFEX has always prioritized investor education and protection. Over the years, CFFEX has successfully launched a wide range of investor oriented projects dedicated to the cause, including establishing the “CFFEX Futures and Options Institute”, one of the first national centers for capital market investor education; organizing a host of education programs featuring financial derivatives that are dedicated to university and college students, as well as market professionals and other members of the investment community; developing a full library of education materials that are intuitive and easy to understand; providing online courses and interactive gamification; and undertaking projects that combine financial literacy with poverty alleviation, to support development of the real economy.
"World Investor Week" is a global campaign promoted by IOSCO to raise awareness of the importance of investor education and protection. The “2021 World Investor Week" will be held from October 4th to 10th, and is the fifth such event. This year again, IOSCO and the WFE are working in partnership to support the “world Investor Week” through an initiative called “Ring the Bell for Financial Literacy”. This is the first time that 7 member exchanges in China jointly held the bell ringing ceremony, and also the first time CFFEX participated.
During the "2021 World Investor Week", CFFEX also plans to advocate the initiative through online quizzes in addition to social media and local video website promotion. In accordance with the CSRC requirements of "Four Awes and One Synergy", CFFEX will continue to work with global peers to build consensus and improve synergy on investor protection and education, and effectively meet the demands of domestic and international investors.
July 29, 2021, China Financial Futures Exchange (CFFEX) held a review seminar in Beijing on best practices of CGB futures. Officials from China Securities Regulatory Commission (CSRC) and CFFEX attended the seminar.
This event of CGB Futures best practices review has drawn wide attention from the industry. A number of institutional investors actively participated in the event. After selecting the crème de la crème, 10 CGB futures application cases submitted by 10 institutional investors were picked for the final review. During the review seminar, those shortlisted 10 institutional investors presented their cases, which include CGB futures supporting bond issuance, reducing corporate financing costs, managing financial risks, improving bond market performance, and serving the opening up of the financial market. And based on their expertise, review committee at the seminar evaluated each cases from perspectives including macro policy, and raised constructive opinions and suggestions.
On the seminar, Mr. Shi Guangwei, Executive Vice President of CFFEX, pointed out that CGB futures are important tools for interest rate risk management. A well-functioning CGB futures market is of great significance in deepening financial market reform and improving the overall financial system. By far, CFFEX has successively listed 5-year, 10-year and 2-year CGB futures, covering the short, medium and long term yield. The market scale has grown steadily and its functions have become increasingly prominent. The purpose of this event is to deeply explore, recognize and promote innovative CGB futures application on risk management to serve the real economy, and build a joint force to develop the CGB futures market through collaboration and communication.
A CSRC official summarized that the CGB futures application cases of institutional investors are vivid embodiment of financial futures serving the real economy, which demonstrated that the fundamental purpose of financial futures market is to supplement the capital market and also support the national strategies. The CSRC official also expressed expectations that with the support of regulators and joint efforts of the industry, CFFEX would further enrich its CGB futures product line, improve the trading mechanism, enhance the investors base, and encourage more medium and long-term investors to participate in the CGB futures market, so as to further serve the high-quality development of the bond market. And meanwhile, it is also expected that market participants would further strengthen compliance, enhance risk control, improve capability, and lay a solid foundation for robust market operation.
Next, in line with CSRC's principle of "Four Awes" and "One Synergy", CFFEX will fully shoulder its market and political responsibilities, improve its services to institutional investors, and steadily build a healthy bond futures market going forward. By integrating the CGB futures market development into the big-picture of national strategies, serving the real economy and the capital market reform, CFFEX will strive to further serve the high-quality development of China’s bond market and national economy.
August 13, 2021, China Financial Futures Exchange (CFFEX) released the notice on reducing the delivery fee of equity index futures and CGB futures by half from August 16, 2021 to December 31, 2021.
The delivery fee reduction is a positive response to the nation’s tax and fee reduction policies, as well as a step forward in promoting the CSRC’s initiative of “Serving the People”. It will reduce investors’ cost of financial futures delivery, facilitate hedging and risk management in financial futures market, and therefore further enhance the support from financial sectors to real economy.
In line with the purpose of serving the real economy, and following the CSRC’s principle of “Four Awes” and “One Synergy”, CFFEX will cooperate with all parties to continue optimize its services and contribute to the high-quality development of the financial futures market.
China Financial Futures Exchange (CFFEX) held the 2021 Market Makers Conference on Mach 26. Guided by the 14th Five-Year Plan and the requirements of the Communist Party of China (CPC) Committee of the China Securities Regulatory Commission (CSRC), the conference was convened to ensure a good start for the operation of financial futures market and market makers management in 2021, so as to promote market stability, high-quality development and market functioning. The Conference reviewed the performance of market makers in 2020 and awarded outstanding market makers and their members. Huo Ruirong, Deputy Secretary of the CPC CFFEX Committee and Chief Executive Officer of CFFEX, delivered a speech at the Conference. Zhang Xiaogang, member of the CPC CFFEX Committee and Executive Vice President of CFFEX, Cao Yue, member of the CPC CFFEX Committee and Executive Vice President of CFFEX, and Shi Guangwei, Executive Vice President of CFFEX, attended the event. Attending the Conference online were senior managers and relevant personnel-in-charge from CFFEX market makers for China government bond (“CGB”) futures and equity index options and from members that provide services to the market makers.
Conference attendees agreed that market-making is a mature trading mechanism widely adopted in the global derivatives market, which substantially improves liquidity, pricing efficiency, market stability, and operation safety. Since being introduced to CFFEX’ CGB futures and CSI 300 index options in May and December 2019, respectively, market makers have actively performed their quoting obligations, effectively improving the liquidity, operation, stability, and functioning of the two markets. Conference attendees also put forward suggestions on how to better manage and empower market makers, promote market stability and high-quality development, and refine the market-maker management regime.
The year 2021 marks the centennial of the CPC and the opening year of the 14th Five-Year Plan for building China into a modern socialist country in all respects. Embarking on this new journey, CFFEX will uphold the Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, and implement the guiding principles of the Fifth Plenary Sessions of the 19th CPC Central Committee and the Central Economic Work Conference. With a holistic view encompassing both domestic and global conditions, CFFEX will adapt to the new development stage, apply the new development philosophy, and align with the new development paradigm. Bearing in mind the principle of pursuing progress while ensuring stability and with systematic thinking, CFFEX will continue its endeavor to fully implement the requirements of the CPC Committee of the CSRC, and the CSRC’s principle of “Four Awes” and “One Synergy”. CFFEX will continue to strengthen the management of market makers, and improve quality management and operations maintenance with smart technologies. Through these efforts, CFFEX strives to maintain the sound and stable operations of the financial futures market, and facilitate improved market functioning, so as to contribute to the high-quality development of the capital market and the national economy and deliver great performance to celebrate the centennial of the CPC.
China Financial Futures Exchange
March 26, 2021