On September 6, Fang Xinghai, Vice Chairman of the China Securities Regulatory Commission, stated at the 2022 China International Futures Forum that he will steadily promote the opening up of the futures market, accelerate the layout of open varieties, further promote QFII/RQFII

China Times (www.chinatimes.net.cn) reporter Hu Jinhua Shanghai reported

html On September 6, Fang Xinghai, vice chairman of the China Securities Regulatory Commission, stated at the 2022 China International Futures Forum that he will steadily promote the opening up of the futures market, accelerate the layout of open varieties, further promote QFII/RQFII participation, and actively explore new paths and models of opening up to the outside world under the premise of controllable risks; and on September 2, Fang Xinghai also stated at the 2022 China International Finance Annual Forum that relevant departments will steadily expand commodities and financial futures international varieties, support the implementation of futures product settlement price authorization cooperation, and realize diversification of the opening path of the futures market. At the same time, the China Securities Regulatory Commission will study and support Hong Kong in launching treasury bond futures, accelerate the opening of the domestic treasury bond futures market to the outside world, and achieve coordinated development between the two places.

is clearly at the time when the regulatory authorities clearly issued a time when the futures market opening is accelerated. On September 2, Shanghai Futures Exchange and its subsidiaries, Shanghai Futures Energy, Zhengzhou Commodity Exchange, Dalian Commodity Exchange and CICC issued an announcement at the same time, clarifying that qualified overseas institutional investors (QFII) and RMB qualified overseas institutional investors (RQFII) can participate in investment trading, including gold, silver, low-sulfur fuel oil, methanol , sugar, soybean meal, soybean oil and other commodity futures, as well as 41 such as copper, aluminum, zinc, methanol, sugar, stock index options. At present, the total number of futures and option varieties in my country has reached 101, and before that, only 9 futures commodities were included in the open varieties.

"At present, overseas capital is very enthusiastic about participating in my country's capital market. The open signal released by the regulators will enable foreign capital to participate in the futures market faster, and at the same time, it can also increase the international voice of my country's futures products. Foreign capital is optimistic about my country's capital market, and they hope that we can be more perfect in the trading mechanism." On September 8, Li Jie (pseudonym), general manager of a quantitative private equity institution in Shanghai, said in an interview with a reporter from " China Times ".

, and more futures institutions said that they are ready to welcome foreign capital, and in the new futures trading types, foreign capital will provide more convenient and complete trading channels.

There is huge room for foreign capital to participate in futures

In a week, the financial regulatory authorities expressed three times that foreign capital participation in the futures market was opened, sending a positive signal.

At the just-concluded Beijing Service Trade Fair, Fang Xinghai once again publicly stated that he would continue to steadily expand the international varieties of commodities and financial futures, support the implementation of futures product settlement price authorization cooperation, and achieve diversification of the opening path of the futures market. With the active promotion of the regulators, the internationalization process of the futures industry has accelerated, which indicates that the opening of the futures market will enter the fast lane.

. The current scale of foreign investment in my country's futures product trading is not large. Tonglian data Datayes shows that as of August 26, the total number of futures and option varieties in my country was 101, of which 9 were included in the open products; the customer equity of overseas investors in the stock index futures market was 31.755 billion yuan, and the customer equity of crude oil futures, iron ore futures , PTA futures, No. 20 rubber, palm oil , international copper, and low-sulfur fuel oil futures markets reached 21.297 billion yuan.

"These values ​​will soon rise rapidly as QFII/RQFII is approved to invest in the futures market. On the one hand, this policy provides a compliance channel for overseas funds to participate in investment and transactions in the domestic futures derivatives market, bringing the opening process of China's futures derivatives market to a higher level. In the future, foreign investment scale will be easy to reach the level of 100 billion." On September 7, a person in charge of Guotai Junan Futures , Huang Liu (pseudonym), analyzed to a reporter from the China Times.

"As foreign investment in my country's financial market increases, the stock of equity assets of overseas investors is also increasing. During the market fluctuation, they have the need to use stock index futures and option tools to hedge spot position risk. With the introduction of QFII and RQFII into overseas traders, the price connection between domestic and foreign futures markets will be closer, and the conditions for my country's futures market to improve its pricing power internationally will be more mature.At present, my country's futures market still has a lot of room for improvement in opening up to the outside world, and the risk control and other problems faced during the opening process need to be paid more attention. "Wang Jun, director of Founder Medium Futures Research Institute, said.

Wang Jun further pointed out that the opening of the domestic futures market will form a more diversified path in the future. First, further open more domestic futures products, increase the coverage of international varieties, and provide more trading target products for overseas investors; second, continue to improve the rules of transaction settlement and physical delivery, and provide more transaction convenience; third, domestic futures companies actively go global, obtain overseas exchange agency qualifications, and open up the trading qualifications of all domestic and foreign markets; fourth, open futures products can consider setting up overseas or overseas delivery warehouses for open futures products , further enhance the openness of domestic open futures products and build the "China price" of global commodity trading .

Huang Liu said in an interview that the global influence of domestic commodity futures pricing through the opening up of the futures market will also help China resist the risk of imported inflation caused by rising commodity prices and falling RMB exchange rates.

Pure foreign futures companies will increase

1 my country's futures market opening is not only reflected in increasing transactions Yipin is open to foreign investment; on the other hand, more pure foreign futures companies will appear in the market in the future.

On August 24 this year, China Securities Regulatory Commission officially issued and implemented the " Foreign-invested Futures Company Management Measures " (hereinafter referred to as the "Measures"). From now on, overseas investors who meet the conditions can submit applications to the China Securities Regulatory Commission in accordance with relevant regulations, and hold no more than 51% of the shares of domestic futures companies, and the share ratio will not be restricted after 3 years.

As early as June 18, 2020, the China Securities Regulatory Commission issued an announcement to approve JPMorgan Futures Co., Ltd. equity has been changed, JPMorgan Futures was approved to become China's first foreign-owned wholly-owned futures company. This is also the first foreign-owned financial licensed institution born after the launch of China's financial industry's expanded opening-up policy. In the following two years, the domestic futures market did not add a pure foreign-funded futures license.

"I think the future establishment of a wholly-owned futures company will still be foreign-funded giants. They already have multiple business licenses in the Chinese financial market, and futures licenses are expected to fall in their hands as the policy is relaxed. "The head of a foreign investment bank in Shanghai revealed to the reporter of the China Times.

But for a number of domestic futures companies, now is also a good time to develop customers.

"Half of the futures trading is not retail investors, but institutional investors are mostly. Foreign investors will definitely find domestic futures companies or quantitative trading institutions when entering the market, which is undoubtedly an incremental market for increasing business volume. "BOC Futures Related Persons also pointed out optimistically.

html On September 7, a trader of a medium-sized futures company in Shanghai told the China Times reporter that the orderly opening of the domestic futures market will help optimize the resource allocation and risk management of global corporate customers. He gave an example, after imported rapeseed meal was included in the futures delivery varieties, more and more overseas oil and oil companies have also begun to hedge domestic sales prices through domestic rapeseed meal futures products, and manage cross-border trade risks more efficiently. Many traders have also passed Domestic No. 20 rubber futures bonded delivery obtained a source of goods and exported to Poland Germany through the China-Europe freight train, realizing the dual connectivity between futures and spot and domestic and foreign markets, effectively solving the risk of export stability of commodities.

"With the recent sharp decline in commodity prices, the price difference of similar products on futures exchanges around the world has expanded, cross-regional arbitrage trading is becoming a common choice for more and more global traders and miners to hedge the risk of price fluctuations of commodities. In addition, many overseas investment institutions are also studying investing in stock index futures and stock index option products through the QFII/RQFII channel to hedge against the price fluctuation risks of their A shares investment portfolio, which will invisibly attract more overseas funds to flow into the A shares market . "The above-mentioned trader pointed out to the reporter of the China Times.