On the occasion of the 3rd anniversary of the gradual implementation and smooth operation of the domestic agricultural products “insurance + futures” pilot program, the industrial products price fluctuation insurance welcomes its debut: the framework agreement on the iron ore “insurance + futures” project cooperation is successfully signed, adding a new method for the futures market to serve the real economy.
Yong’an Futures Co., Ltd. and PICC Property and Casualty Company Limited that participate in this program have, under the support and promotion of Dalian Commodity Exchange (DCE), run the agricultural products “insurance + futures” pilot program for years and accumulated abundant experience. An insider said that the first industrial products iron ore “futures + insurance” mode is basically a duplication of the agricultural products “insurance + futures” mode, namely, exploring a new way based on the existing experience. In the above mode, obstacles will be cleared for large state-owned enterprises (SOE) and centrally-administered SOEs to indirectly take part in the derivatives market; financial instruments will be used to better serve private enterprises and small and medium-sized enterprises; more methods of avoiding price fluctuation risk will be worked out for enterprises; all this will make a new step forward for the cross-border finance serving the real economy.
